OTTAWA, Aug. 8, 2017 /CNW/ - Clearford Water Systems Inc.
("Clearford" or the "Company"), (TSXV: CLI), a TSX Venture 50
Company, today announced that it has entered into a forbearance
agreement with its convertible debenture holders with the intention
to extend the term and amend certain conditions of the convertible
debenture.
The convertible debenture matured on August 5, 2017. The forbearance agreement runs
from August 5, 2017 until
October 2, 2017 which will allow the
parties to prepare and execute the necessary documents and receive
the necessary approvals from the TSX venture exchange to amend the
existing terms and conditions of the convertible debenture.
The Company and its lenders intend to extend the maturity date
of the convertible debenture for 3 additional years to August 5, 2020 and reduce the conversion price
from the current $0.55 to $0.20 to
reflect the current trading value of the Company. The transaction
will be treated as a replacement of the existing debenture under
TSX Venture policies and is subject to filing and approvals by the
TSX-V.
"We appreciate the continued support of our debenture holders as
we pursue the acquisitions that will drive our new business model
and will position Clearford as an operator and manufacturer of
water and wastewater infrastructure" said Kevin Loiselle, President & CEO of
Clearford.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
About Clearford Water Systems Inc.
Clearford Water
Systems Inc. (TSX-V: CLI) is a provider of unified water management
and sanitation systems based on Clearford One™. Clearford One™ is a
proprietary system comprised of ClearDigest™ smart digester,
ClearConvey™ small bore sewer, and ClearRecover™ final treatment
facility. For more information on Clearford Water Systems, please
visit www.clearford.com.
Forward Looking Statements
This news release contains
certain statements that constitute forward-looking statements as
they relate to the Company and its management.
Forward-looking statements are not historical facts but represent
management's current expectation of future events, and can be
identified by words such as "believe", "expects", "will",
"intends", "plans", "projects", "anticipates", "estimates",
"continues" and similar expressions. Although management
believes that the expectations represented in such forward-looking
statements are reasonable, there can be no assurance that they will
prove to be correct.
By their nature, forward-looking statements include assumptions
and are subject to inherent risks and uncertainties that could
cause actual future results, conditions, actions or events to
differ materially from those in the forward-looking
statements. If and when forward-looking statements are set
out in this news release, Clearford will also set out the material
risk factors or assumptions used to develop the forward-looking
statements. Except as expressly required by applicable securities
law, the Company assumes no obligation to update or revise any
forward looking statements. The future outcomes that relate to
forward-looking statements may be influenced by many factors,
including, but not limited to: industry cyclicality; the ability to
secure third party agreements; successful integration of
Clearford's system with third party technology; competition;
reduction in demand for products; collection from customers;
relationships with suppliers; product liability; intellectual
property; reliance on key personnel; environmental; interest rates;
uninsured and underinsured losses; operating hazards; risks of
future legal proceedings; income tax matters; credit facilities;
availability and terms of financing; distribution of securities;
restrictions on potential growth; effect of market interest rates
on price of securities; and potential dilution.
SOURCE Clearford Water Systems Inc.