Tickers: XTSX:LTX
Tags: #Oil&Gas, #Technology, #Media
Calgary, Alberta - TheNewswire - October 28, 2019 - Labrador Technologies Inc. ("Labrador" or the "Corporation") (TSXV:LTX) announces that it has entered into Debt Waiver and Settlement Agreements with The Estate of H. Ronald Sterne (the "Estate" or the "Creditor") relating to an aggregate amount owing of $676,116; consisting of $575,136 in unpaid salaries and $100,979 in shareholder loans (including interest), of which, $500,136 of the unpaid salary has been forgiven with the remaining portion of $75,000 in unpaid salary and $100,979 in shareholder loan payables settled by issuance of 3,519,588 shares of the Corporation at a price of $0.05 per Share and a cash payment of $6,000 (the "Transaction"). The Creditor is considered to be a "related party" within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions ("MI 61-101"). It is anticipated the Transaction will be exempt from valuation and minority approval requirements applicable to certain related party transactions on the basis that the value of the Transaction is less than 25 percent of the Corporation's market capitalization.
Further, the Corporation has provided notice and have agreed with certain directors, officers, former consultants and former employees of the Corporation to cancel an aggregate of 16,000,000 stock options previously held by such directors, officers, former consultants and former employees. Under the Corporations rolling stock option plan, the Corporation can grant up to a maximum of 10% of the issued shares of the Corporation at any time.
During the current fiscal year, the Corporation has made significant progress in reductions costs and operational debt. The Corporation continues its efforts on restructuring and the evaluation of potential future investment opportunities.
The issuance of the shares is subject to all necessary approvals, including the approval of the TSXV. The shares issued in satisfaction of the indebtedness will be subject to a four month hold period from the date of their issuance.
About Labrador Technologies
Labrador Technologies Inc. is a Calgary, Alberta based technology company evaluating new opportunities in the technology, oil & gas and Canadian cannabis sectors.
For further information, please contact:
Kaan Camlioglu, Interim Chief Executive Officer
T: (403) 818-1091
E: kaan@labradortechnologies.com
Dean Stuart
T: (403) 617-7609
Neither the TSX Venture nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements Certain information in this press release may constitute forward looking information within the meaning of securities laws. All statements, other than statements of historical fact, are statements that could be deemed forward-looking statements, including statements containing the words "proposed", "process," "expects," "explore," and other similar words. These statements are based on the current estimates and assumptions of our management as of the date of this press release and are subject to risks, uncertainties, changes in circumstances and other factors that may cause actual results to differ materially from the information expressed or implied by forward-looking statements made in this press release. In particular, but without limiting the foregoing, this news release contains forward-looking statements pertaining to the following: the shares for debt transaction with the Estate; the debt waiver with the Estate; and the anticipated cancellation of stock options held by such directors, officers, former consultants and former employees, and the applicability of the MI 61-101 exemption . Examples of such statements include statements regarding potential strategic alternatives. Given these uncertainties, you should not place undue reliance on the forward-looking statements in this press release. The forward-looking statements contained in this document are made as at the date of this news release and Labrador does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
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