PSYC Strengthens Balance Sheet by Consolidating Notes with Reduced Interest
July 19 2022 - 8:30AM
InvestorsHub NewsWire
PSYC CORPORATION PRESS
RELEASE
PSYC Strengthens
Balance Sheet by Consolidating Notes with Reduced
Interest
LAS VEGAS, NV -- July 19, 2022 --
InvestorsHub NewsWire -- PSYC Corporation (OTCPink:
PSYC) (“PSYC” or the “Company”), a media leader focused on the
emerging psychedelic sector, announced the consolidation of 49
previously issued convertible debentures (“the Debentures”). The
Debentures were issued between January 2019 and December
2021.
According to the agreement, the
interest rate on the Debentures has been lowered to 7% from 10%.
The lower interest rate will reduce the total amount of capital
that is owed to holders of the Debentures and presents the
opportunity to strengthen the Company’s balance
sheet.
The Debentures are owned by RB
Capital Partners, Inc. (“RB Capital”), and the agreement is a
testament to the firm’s belief in PSYC's outlook. RB Capital is the
Company’s largest Debenture holder and has shown a willingness to
manage the debt on the balance sheet. The Company also believes
that the consolidation of the Debentures further demonstrates RB
Capital’s commitment to the Company's long-term growth
prospects.
Furthermore, the Company views the
consolidation as part of a larger initiative for PSYC, centered
around acquiring strategic assets and strengthening the balance
sheet. This is particularly relevant while management remains
focused on fulfilling its objective of initiating the Form-10
filing process, with the intent of up-listing to the OTCQB in the
most reasonable time frame possible.
Over the next quarter, the Company
expects to report additional developments with the Debenture
holders as it continues to focus on maximizing value for
shareholders.
“We are incredibly grateful for
the commitment and support RB Capital has shown for PSYC over the
last few years,” said PSYC CEO, David Flores. “Their recent support
was positively critical to the redevelopment of PSYC and our
ability to strategically and successfully position the Company at
the forefront of a psychedelic sector that we believe is primed for
exponential growth in the near future. Furthermore, the opportunity
to work with RB Capital in a practical and constructive manner to
not only consolidate a long list of their Debentures, but
renegotiate specific terms that are helpful, not harmful to the
Company, can, in my opinion, be viewed as a testament to their
ongoing support and commitment to PSYC’s long-term
success.”
PSYC CFO Craig Schlesinger added,
“As always, the math tells the tale. This note consolidation is
balance sheet friendly, shareholder friendly, and demonstrates RB
Capital’s belief in PSYC’s long-term growth and value through their
willingness to provide financial support to the Company during
suboptimal market conditions and renegotiate in good faith to
benefit PSYC’s liquidity.”
Flores concluded: “Our focus from
this point forward is to continue taking additional steps that will
strengthen our control over the Company’s debt, create solutions to
significantly reduce it, and ultimately establish a scenario
whereby loyal shareholders and stakeholders like RB Capital are
rewarded for their unwavering commitment and loyalty through the
value we are building for PSYC.”
About PSYC Corporation (OTCPink:
PSYC)
At PSYC Corporation we are
integrating media, creativity, and technology to develop and deploy
thought-provoking ideas and solutions that are fostering and
transforming the approach to some of society’s most pressing
matters.
PSYC has expressed its intent and
commitment to positioning itself at the forefront of the
psychedelic revolution and as a resource center for discovering and
understanding the latest research and business opportunities
surrounding psychedelic inspired medicines. In conjunction with the
FDA’s more open-minded approach to psychedelic medicines, and as
several major U.S. cities continue to approve the decriminalization
of psilocybin, we believe investors are speculating that the
psychedelic boom could be bigger than that of cannabis. PSYC is
your source for current investment related news specific to
psychedelic medicines and cutting-edge research improving overall
health, moving this sector into the mainstream.
We are dedicated to a
forward-thinking approach that embraces groundbreaking new
technology and innovations and through the vision of business
development we intend to continue to evolve into these unchartered
territories as the industry leaders of the
future.
Forward-Looking Statements
Disclaimer:
This press release contains
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. In some cases, you can
identify forward-looking statements by the following words:
"anticipate," "believe," "continue," "could," "estimate," "expect,"
"intend," "may," "ongoing," "plan," "potential," "predict,"
"project," "should," "will," "would," or the negative of these
terms or other comparable terminology, although not all
forward-looking statements contain these words. Forward-looking
statements are not a guarantee of future performance or results and
will not necessarily be accurate indications of the times at, or
by, which such performance or results will be achieved.
Forward-looking statements are based on information available at
the time the statements are made and involve known and unknown
risks, uncertainty and other factors, including the effect of
COVID-19 and the success of the current vaccine distribution, the
adverse effect of the Omicron variant, that may cause our results,
levels of activity, performance or achievements to be materially
different from the information expressed or implied by the
forward-looking statements in this press release. This press
release should be considered in light of all filings of the Company
that are disclosed on the OTC Markets.com website and is not
incorporated by reference into such reports.
Disclaimer: PSYC Corporation
does not in any way encourage or condone the use, purchase, sale or
transfer of any illegal substances, nor do we encourage or condone
partaking in any unlawful activities. We support a harm reduction
approach for the purpose of education and promoting individual and
public safety. If you are choosing to use psychedelic substances,
please do so responsibly.
Corporate
Contact:
PSYC Corporation
(PSYC)
www.psyccorporation.com
(702) 761-6716
info@psyccorporation.com
OTCPINK:
PSYC
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