HONG KONG, CHINA--(Marketwired - November 03, 2015) - PayChest, Inc. (OTC PINK: PYCT)
PayChest is pleased to announce the Company has improved its balance sheet by converting $1,070,699 of current liabilities to Preferred B Shares. Negotiations with creditors enabled the transfer of these debts to Preferred B Shares with payments in lieu of interest totaling $113,000 also delivered in Preferred B Shares.
This follows the recent write-downs of certain assets as announced on September 22, 2015.
The restructuring enables the Company to focus proceeds of the $500,000 financing, as announced in July 2015, on funding commercial production and business development rather than being used for debt repayment or interest.
The Company completed this restructuring effective September 30, 2015 resulting in an outstanding balance of current liabilities of $73,243. This will be reflected in the Third Quarter Financial Report.
The result is a balance sheet with significantly less debt and better reflects the Company's focus on the Mibella® product range.
We expect to make an announcement shortly as to when commercial production of the Mibella® product will begin.
NOTE ABOUT FORWARD-LOOKING STATEMENTS
Except for any historical information contained herein, the matters discussed in this press release contain forward-looking statements that involve risks and uncertainties, including those described in the Company's filings with OTC Markets http://www.otcmarkets.com/stock/PYCT/financials.
Certain statements contained in this release that are not historical facts constitute forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, and are intended to be covered by the safe harbors created by that Act. Reliance should not be placed on forward looking statements because they involve unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to differ materially from those expressed or implied. Forward-looking statements may be identified by words such as estimates, anticipates, projects, plans, expects, intends, believes, should and similar expressions and by the context in which they are used. Such statements are based upon current expectations of the Company and speak only as of the date made.
Historical news releases on the Company can be found at http://www.paychest.com/news.htm.