Nutritional High International Inc. Ordinary Shares SPLID

News. I guess settling debt is a good thing ? Thoughts ?

[420man]

C.EAT | 20 minutes ago
 

TORONTO, Oct. 28, 2019 (GLOBE NEWSWIRE) -- Nutritional High International Inc. ("Nutritional High" or the "Company") (CSE: EAT, OTCQB: SPLIF) announces it has reached a settlement agreement (the “Settlement Agreement”) with a Creditor (the “Creditor”) for previously incurred indebtedness. Pursuant to the Settlement Agreement, 942,858 common shares have been issued to the Creditor of the Company at a price of CAD$0.145 per share.

An additional 921,377 common shares of the Company have been issued at a price of CAD$0.20 per share as compensation for investor relations and marketing services.

The Common Shares are subject to a four month and one day hold period from the date of issuance in accordance with applicable securities laws.

Read more at https://stockhouse.com/news/press-releases/2019/10/28/nutritional-high-announces-debt-settlement#EQaoy2RPSs4ZBTr2.99

[Greede]

I'm with you, yes it um, seems like an ...uh...ok news release. It's an odd release by an unpredictable company. Let's hope the next NR wows folks.

[Tundra14]

um, uh, no, it's not a good thing in this situation.  Trouble on the horizon is brewing.  Cash strapped.  We all knew their cash burn was going to catch up to them.  Better prey financials come out better than expected.

[Greede]

The difference here is that the clear RUN rate we have makes a multi-quarter, steady-cash flow producing company that is increasing, so while this may not be ideal no one needs to go and hit the panic button.  I find your misspelling of prey, quite amusing. 

[Tundra14]

Hopefully these are shark infested waters........ You are easily amused but then again, the majority of posts on here are quite amusing.

[LiquidOctopusV2]

Ok, everyone.  Look at the total value of this: $320,989.41.  That's not a pile of cash and they could pay it - but it's more likely they just want to access their credit facility again.  It probably means they aren't quite there yet in terms of profitability, I speculate they are close.  It also means that they are NOT intending to dilute in order to cover

[LiquidOctopusV2]

Hold on, this first part where I say "they could pay it", I didn't explain my thoughts clearly.  What I mean is that they probably gave the creditor signficantly less in stock than they had actually borrowed.  As in this was the cheapest way to cover debts. 

[HeryRunFst1]

This post has been removed in accordance with Community Policy

[geodcan]

It depends on what the shareholders think.  Could be prudent or could be selling the furniture to save the house.  Stretching shareholder's dollars and getting good value is a responsibility that is often ignored by management.  glta and dyodd