Gratomic Announces up to $1.4 Million Debt Settlement

Toronto, ON / ACCESSWIRE / July 25, 2024 / Gratomic Inc. (TSXV:GRAT)(FSE:CB82) plans to settle $1,422,149.60 in total debt with various creditors. This includes $1,004,800 owed to arm's-length creditors, $102,500 in management and director fees to the Company's four directors, and $314,849.60 of cash advances and expenses paid by CEO Arno Brand. The settlement will be in exchange for up to 14,221,496 common shares at $0.10 each, subject to TSX Venture Exchange approval. The issued securities will have a statutory hold period of four months and one day.

The settlement for the $417,349.60 owed to insiders, set to result in 4,173,496 common shares, is exempt from valuation and minority shareholder approval under MI 61-101. This exemption is based on the fair market value of the consideration not exceeding 25% of the market capitalization. The settlement will conclude at least 21 days after filing a material change report.