Debt Settlement Marks Another Milestone in
Reklaim's Financial Stability, Following a Year of Consistent
Profitability
NEW
YORK, Oct. 10, 2024 /CNW/ - Reklaim Ltd. (OTCQB:
MYIDF) (TSXV: MYID) ("Reklaim" or the "Company"), (the "Company"),
the destination where consumers can view, edit, add and option
their data for direct compensation, is pleased to announce a
significant step in its financial strategy by reducing outstanding
debt by approximately 11%. The Company has agreed to satisfy
$100,000 of indebtedness owed to a
non-arms length creditor through the issuance of 1,111,111 common
shares at a deemed price of $0.09 per
share (the "Debt Settlement").
This latest conversion follows a strong year for Reklaim, during
which the Company has maintained consistent profitability. Most
recently, Reklaim achieved a positive EBITDA of $154,290 for Q2 2024, positioning the Company for
continued financial growth. The issuance price per share was based
on the closing trading price of the Company's shares on the TSX-V
on October 4th, 2024.
This strategic debt reduction aligns with Reklaim's ongoing
commitment to enhance shareholder value and improve financial
stability. The Debt Settlement is a critical component of the
Company's broader capital strategy, designed to optimize its
capital structure while minimizing dilution and fueling future
growth.
All securities issued as part of the Debt Settlement are subject
to a statutory hold period of four months plus one day from the
issuance date. This transaction will not result in creating a new
Control Person for the Company.
With this debt settlement, Reklaim is well-positioned to pursue
new opportunities, expand its consumer base, and continue enhancing
profitability in upcoming quarters.
Final approval of the Debt Settlement is subject to TSX
approval.
Additionally the Company is pleased to announce the appointment
of Stuart Pasternak as its new CFO,
succeeding Dean Wood. Mr. Pasternak,
CPA, CA, brings over 30 years of expertise in financial and
strategic planning, as well as corporate and risk management,
across both public and private sectors.
About Reklaim Ltd
Reklaim provides compliant data to Fortune 500 brands,
platforms, and data companies, empowering consumers to take control
of their personal information. By visiting Reklaim, users can
confirm their identity and uncover data that has been collected and
sold without their explicit consent. Through a Reklaim account,
consumers can choose to either monetize their data or safeguard it
using Reklaim's suite of privacy tools. For more information,
visit Reklaim's investor page.
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.
This news release contains forward-looking statements and
other statements that are not historical facts. Forward-looking
statements are often identified by terms such as "will," "may,"
"should," "anticipate," "expects," and similar expressions. All
statements other than statements of historical fact included in
this release, including, without limitation, statements regarding
the closing of the Debt Settlement and TSXV approval of the Debt
Settlement, are forward-looking statements that involve risks and
uncertainties. There can be no assurance that such statements will
be accurate, and actual results and future events could differ
materially from those anticipated in such statements. Important
factors that could cause actual results to differ materially from
the Company's expectations are risks detailed from time to time in
the filings made by the Company with securities regulators.
The reader is cautioned that assumptions used in preparing
any forward-looking information may prove incorrect. Events or
circumstances may cause actual results to differ materially from
those predicted due to numerous known and unknown risks,
uncertainties, and other factors, many of which are beyond the
control of the Company. As a result, the Company cannot guarantee
that any forward-looking statement will materialize, and the reader
is cautioned not to place undue reliance on any forward-looking
information. Although considered reasonable by management during
preparation, such information may prove incorrect, and actual
results may differ materially from those anticipated. This
cautionary statement expressly qualifies forward-looking statements
in this news release. The forward-looking statements in this news
release are made as of the date of this news release. The Company
will only update or revise any of the included forward-looking
statements as expressly required by Canadian securities
law.
This press release includes references to "EBITDA," which is
not defined under the International Financial Reporting
Standards (IFRS). This non-IFRS measure intends to provide
additional helpful information to investors and analysts. This
non-IFRS measure does not have a standardized meaning
prescribed by IFRS and is, therefore, unlikely to be comparable to
similar measures presented by other entities. As such, this
non-IFRS measure should not be considered in isolation or
used as a substitute for performance measures prepared per
IFRS. EBITDA is calculated as income before interest, taxes,
depreciation, and amortization expenses. EBITDA is
considered a useful measure by the management of Reklaim to
understand its profitability, excluding the effects of
capital structure, taxation, and depreciation, but it may
not be appropriate for other purposes. EBITDA is not defined under
IFRS and should not be considered an alternative to, or more
meaningful than, income (loss) and comprehensive income
(loss).
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SOURCE Reklaim Ltd.
