Clear Blue Technologies announces financial restructuring plan including debt conversion and private placement

From GlobeNewswire: 2024-12-27 17:00:00

Clear Blue Technologies International Inc. has announced a financial restructuring plan, including a debt conversion program and a private placement to raise working capital. The company also plans to consolidate its shares and reduce operating costs to focus on growth opportunities in North American and African markets. The restructuring is supported by shareholders, lenders, and other stakeholders. The company aims to address challenges faced in recent years and move forward with a stronger financial position. The transactions are subject to regulatory approval and are expected to be completed by the end of 2024.

The debt settlement agreements will convert approximately $8.77 million of debt into units of the company, with each unit comprising one common share and one common share purchase warrant. The company also plans to conduct a private placement to raise up to $2 million in working capital. In addition, a share consolidation is planned to enhance marketability and meet regulatory requirements. The transactions are expected to be finalized by the end of 2024, subject to regulatory approvals.

Insiders, including directors and officers of the company, have collectively loaned the company $994,704, which is repayable in 2026. The loan is considered a related party transaction and is exempt from certain shareholder approval requirements. The company is taking steps to ensure compliance with securities laws and regulations in the restructuring process. The company’s focus is on achieving financial stability and pursuing growth opportunities in key markets.



Read more at GlobeNewswire: Clear Blue Technologies Announces Shares for Debt