Engagement Labs Inc. Announces Approval of Debt Restructuring By Holders Of 1% Debentures And 2% Debentures And Implementation of Two-For-One Share Consolidation
Montreal, QC — May 22, 2019 — Engagement Labs Inc. (TSXV: EL) (OTCQB: ELBSF) announces that at a special meeting of shareholders held today, shareholders approved a special resolution providing for the consolidation of its outstanding common shares on a two-for-one basis. A Certificate of Amendment has been issued under the Canada Business Corporations Act giving effect today to the two-for-one share consolidation. The number of outstanding common shares has changed from 217,261,430 common shares to 108,630,700 common shares. Letters of Transmittal were mailed to shareholders on May 1, 2019 providing for the transmittal of existing common shares certificates by the registered holders thereof to Computershare Investor Services Inc. in exchange for replacement share certificates reflecting the number of shares held on a two-for-one post-consolidated basis.
The Company also announced that holders of more than 90% of the aggregate principal amount of 1% Debentures, and 2% Debentures, respectively, have provided the requisite 90% approval in writing to give effect to amendments to their Debentures that will result in all of the $1,665,000 aggregate principal amount of 2% Debentures outstanding being converted into 27,750,000 common shares at $0.06 per share, and all of the $4,194,000 aggregate principal amount of 1% Debentures outstanding being converted into 38,127,272 common shares at $0.11 per share. With these approved amendments at total of $5,859,000 in indebtedness plus approximately $200,000 in interest that would have been payable through maturity will be eliminated upon completing the conversion of debentures and the issue of the common shares to which the Debentureholders are entitled under the terms of the amendments.
Ed Keller, the Chief Executive Officer and a Director of the Corporation may be contacted at email@example.com for further information regarding the contents of this News Release.
About Engagement Labs
Engagement Labs (TSXV: EL) (OTCQB: ELBSF) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies.
To learn more visit www.engagementlabs.com
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