HYRE - HyreCar initiates voluntary Chapter 11 process names leadership changes

• HyreCar ( OTCPK:HYRE ) voluntarily initiated Chapter 11 proceeding in U.S. Bankruptcy Court requesting customary relief that will enable it to transition into Chapter 11 without material disruption to its ordinary course operations, including payment of employee wages and benefits.
• The company also entered into an agreement with Holmes Motors for providing $5M in debtor-in-possession financing.
• Prior to the filing, HyreCar entered into a term sheet with Holmes to acquire substantially all of the assets for $7.75M.
• Holmes will be entitled to credit bid the DIP financing against the purchase price.
• On approval from Bankruptcy Court, the DIP financing along with cash generated from ongoing operations will provide HyreCar with necessary liquidity for supporting its operations during the sale process.
• The company board also appointed interim CEO Eduardo Iniguez as CEO and CFO; AJ Lee, formerly SVP, Growth has been named COO.

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