(TheNewswire)
Montréal – TheNewswire - April 5, 2023 – ZeU Technologies, Inc. (CSE:ZEU) (OTC:ZEUCF) is pleased to announce that it has reached a settlement agreement witha large creditor of the Company that eliminates $8,295,753.42 of debtand claims from its balance sheet.
Effective March 31, 2023, a convertible debenture of CA$7,500,000 bearing 6% annual interest with accrued interest of CA $935,753.42, as well asclaims of $2,497,923.10, isnow replaced by a promissory note ofCA $175,000 and the issuance of 4,130,000 common shares of ZeU Technologies Inc.
The promissory note is payable as follows:
$20,000 on May 1, 2023; $15,000 on June 15, 2023; $20,000 on September30, 2023; $20,000 on December 31, 2023; $20,000 on March 31, 2024;$20,000 on June 30, 2024; $20,000 on September 30, 2024; $20,000 onDecember 31, 2024; and $20,000 on March 31, 2025. A clause allowingthe acceleration of payment using a proportion of future privateplacements financing is included.
The 4,130,000 common shares will be issued within 10 days and aresubject to an escrow release over time, with the first amountrepresenting 20% or 826,000 shares, being released from escrow afterthe regulatory 4 months and 20% of the shares being released fromvoluntary escrow every 3 months thereafter.
St-Georges Eco-Mining Corp.
Pertaining to the aforementioned promissory note, it is important tonote that this transaction will improve significantly the consolidatedfinancial statements of St-Georges Eco-Mining Corp.(CSE: SX), whichcurrently consolidates ZeU’s financials into its own.
Effective March 31, 2023, St-GeorgesEco-Mining Corp. agreed to consolidate its loans to ZeU intoone convertible debenture bearing 18% annual interest payablequarterly in shares at the volume price average of the prior 10 dayswith a minimum price of $0.10 and with a maturity date of April 30,2027. The agreement contains an accelerated repayment mechanism basedon money raised or net revenue generated by the Company. The newdebenture will replace all other prior loans in existence for a totalof CA $950,000. ZeU Technologies will also issue 6,500,000 warrants ata price of $0.15 for a duration of 3 years in favor of St-Georges. Allproceeds of these warrants will be used to repay the capital of thedebenture.
ON BEHALF OF THE BOARD OF DIRECTORS
“FrankDumas”
Frank Dumas
President & CEO
About ZeU
ZeU is a forward-thinking Canadian technology company that hasdeveloped a state-of-the-art DLT protocol, providing the foundationfor the next generation of encrypted and distributed networks. Thanksto its high level of sophistication, ZeU’s technology maximizestransparency, security and scalability, as well as big datamanagement. ZeU’s strategy is to monetize DLT transactions indiverse sectors such as payment, gaming, data, and healthcare.
The Canadian Securities Exchange(CSE) has not reviewed and does not accept responsibility for theadequacy or the accuracy of the contents of this release.
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