VANCOUVER, BRITISH COLUMBIA — (Marketwired) — 05/19/15 — Uniserve (TSX VENTURE: USS) is pleased to announce further success in its efforts to reduce debt and restructure its long term financial obligations. Management has completed negotiations with various debt holders to restructure and extend a number of these obligations to allow the Company to continue to grow its business.
As of June 1, 2015 the interest rate on approximately $1 million worth of debt will be reduced from a high of 15% to 8% on an annual basis with the first six months of interest charges being waived and the repayment term being extended two years. In consideration for the interest rate reduction and interest payment forgiveness, along with the term extension, the Company has agreed to grant 2.5 million warrants exercisable at a price of $0.10 in year one and $0.15 in year two. Approximately $300,000 of this debt will be repaid in the next 60 days. Interest on approximately $1.2 million in additional debt will be waived for a 12 month period from January 1, 2015.
Interest on outstanding convertible debentures in the amount of $600,000 has been reduced from 15% to 12%, with $150,000 to be repaid prior to month end. The term of repayment will be extended for one year and the debt will be convertible into shares of the Company at $0.10 during the term of the extension.
The Company also wishes to announce that the private placement of 12 million units announced April 29, 2015 has been re-priced from$0.05 to $0.06 per unit and the Company will raise a total of $720,000. All other terms will remain the same and it is anticipated this placement will close before the end of May.
Uniserve Communications Corporation (TSX VENTURE: USS) is an industry leader in the integration and delivery of voice, data and cloud computing services to businesses and retail consumers throughout Canada. For more information about Uniserve, its products and services please visit .
This news release was prepared on behalf of the Board of Directors, which accepts full responsibility for its contents.
Michael C. Scholz, Chairman of the Board
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents of this News Release. Management has prepared this release and no regulatory authority has approved or disapproved the information contained herein. The statements contained in this news release that are not historical facts are forward looking statements. Such statements are based on management–s estimates, assumptions and projections using available information. Uniserve cautions that actual financial results could differ materially from the current expectations due to a number of factors.
Contacts:
Uniserve Communications Corporation
Investor Relations
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