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May never get out of the trips again here.
When is the $1+ coming? Nice trash.
GRST - WHAT MED ARE YOU TAKING???........
GRST - Mr. Shawn Leon will Prove his Honesty!....IMO
What does that link have to do with the price of tea in China?
GRST - The Financial Times is one of the world’s leading news organisations, recognised internationally for its authority, integrity and accuracy
https://aboutus.ft.com/company/our-standards/editorial-code
Are you Implying that you are better than them???......
The acquisition didn't close until mid 2021 with the first numbers not showing up until Q3 2021. So year over year numbers should be about where they are. They started funding it as a start-up in early 2020. Now in 2023 they appear to be handing it all over for secured debt.
GRST - WE ARE NOW IN 2023!!!........
Income statement (USD)
Year on year Ethema Health Corp grew revenues 148.16% from 1.94m to 4.82m while net income improved from a loss of 1.54m to a gain of 247.88k.
https://markets.ft.com/data/equities/tearsheet/profile?s=GRST:PKC
================================================================
***Trading at 98% below our estimate of its fair value
***Became profitable this year
https://simplywall.st/stocks/us/healthcare/otc-grst/ethema-health
================================================================
Time will Tell The Story!
The CEO was very positive in December 2019 when he announced a huge acquisition target that never came to be. Then less than a month later they shut down their only treatment center in January 2020. During this blissful period of the first 8 weeks of 2020 they dumped 1.3 billion new shares taking the price to .0001 where it remained for 4 months. Before all that in October 2019 they handed over the deed to the Delray Beach property for Leonite debt.
GRST - So, According to you......We are Being MISLEAD By Every One Except You!....
***HOW FORTUNATE WE ARE!!!.....However.....I Rather Trust Mr. Shawn Leon and Stand By The Statement Below:
***https://markets.ft.com/data/equities/tearsheet/profile?s=GRST:PKC
***https://simplywall.st/stocks/us/healthcare/otc-grst/ethema-health
***Post it By declaes: Post # 46811 - Wednesday, May 03, 2023 1:58:03 PM***
***DO YOUR OWN DD***
https://capedge.com/filing/792935/0001903596-23-000263/GRST-10K-2022FY
https://capedge.com/filing/792935/0001903596-22-000804/GRST-10Q-2022Q3
https://capedge.com/filing/792935/0001903596-22-000529/GRST-10Q-2022Q2
https://capedge.com/filing/792935/0001903596-22-000301/GRST-10Q-2022Q
================================================
Future will Tell The Story!
Of course the CEO is positive going forward. When has he not? The regulation "A" offering will be vital, but what is good for the company is not necessarily good for shareholders. This is why the real investors are secured by direct shares of the subsidiaries and not Ethema Health (GRST) which has assumed the liabilities.
GRST - Mr. Shawn Leon is Positive Going Forward....
***We have repeatedly indicated throughout the year that our dual goals were to grow the company and to manage and repay the debt we accumulated in previous years. In the next few months, we expect to make substantial progress on these goals with the new equity raise outlined in the filed form 1A ***
***https://markets.ft.com/data/equities/tearsheet/profile?s=GRST:PKC
***https://simplywall.st/stocks/us/healthcare/otc-grst/ethema-health
***Post it By declaes: Post # 46811 - Wednesday, May 03, 2023 1:58:03 PM***
***DO YOUR OWN DD***
https://capedge.com/filing/792935/0001903596-23-000263/GRST-10K-2022FY
https://capedge.com/filing/792935/0001903596-22-000804/GRST-10Q-2022Q3
https://capedge.com/filing/792935/0001903596-22-000529/GRST-10Q-2022Q2
https://capedge.com/filing/792935/0001903596-22-000301/GRST-10Q-2022Q
============================================================
*** NO R/S - Post #46660 - ***
***GRST don't need a split and is not planning a split. Not for this offering, not on the near future***
***Nothing is IMPOSSIBLE!- Post #46824-***
https://m.facebook.com/story.php?story_fbid=pfbid0384zmAatZnTUzVhjkBMxiaSto25kuvLVWaDKCNCPMCqFGeP6h68jyFEt7zbVwEFfXl&id=100063477483736&sfnsn=mo
===============================================================
***GlobeNewswire***
Ethema Posts Strong Year End Results
Ethema Health Corporation- April 4, 2023
.https://nz.finance.yahoo.com ›
***Drug Rehab West Palm Beach, FL | ARIAhttps://www.ariafl.com
***We will continue to focus on growth while improving our balance sheet***
***The Company growth is real and the elimination of variable rate debt is real***
***Please see Post #42737 & 42751 Interesting Reply from The CEO***
GRST - https://fb.watch/bN-wNMFvWg/
https://t.co/5GwitXravc $GRST
Hahahahahahahahaha! That's what you make of it....
Yes, this stock is trading at 0.0003 and they offer at 0.0012!!!
There might be some diluting at 0.0012 but far from all shares will be sold at 0.0012
Man you are losing it!
Fortunately a filing is required for this particular future event. One is also required for a reverse split. Stay tuned.
GRST - <<Again from the filing>>......!
Obsessing about the Filing do not makes to see the Future Events Happening....???....
***IMO Filing Cover a Period of time from the Past they Do Not Show the Progress being made in the Future........Therefore we have to Rely on the "Subsequent" Press Release....
***NEVER DISREGARD THE IMPONDERABLE***.......
***This Company Hurricane Hydrocarbon was in Bankruptcy......
*** From 27 Cents Went to $55 a share,....... A long way from the 27 cents that Hurricane traded at when it was in Bankruptcy.
***FWIW Here the Story***.....
***From Bankruptcy to Oil Riches
NEW YORK — Six years ago, when Bernard Isautier took the helm of Hurricane Hydrocarbons, things looked bleak.
The company, based in Calgary, Alberta, was under bankruptcy protection. It controlled vast, recently privatized oil reserves in the Central Asian republic of Kazakhstan but had been drained by a dispute with a local refinery, a currency collapse and prices depressed by a flood of Russian oil into the country, a former Soviet republic.
Arriving at an opportune moment, Isautier bought the refinery involved in the dispute, paying in stock. Unfavorable deals with the Kazakh government were resolved. He recapitalized the company with money from European investors. And the price of oil went up.
Hurricane Hydrocarbons emerged from bankruptcy in 2000, and in 2003 Isautier changed its name to PetroKazakhstan.
On Monday, he announced a plan to sell the company to China National Petroleum Corp., or CNPC, for $4.18 billion, or $55 a share, a long way from the 27 cents that Hurricane traded at when it was in bankruptcy.
Isautier, 62, who owns 3.1 percent of PetroKazakhstan, has had a career that does not fit the mold of an oil company chief in Alberta. Though the company is officially based in Calgary, Isautier runs it from London and has moved its top executives there. With all its assets in Kazakhstan, the oil producer now has few ties to its official base.
Isautier, who was born in France, studied physics, mathematics and engineering at two universities that produce many of that country's top public servants and executives.
After eight years with the French Ministry of Industry, Isautier moved to Elf Aquitaine, an oil and natural gas producer owned at the time by the French government. In the mid-1970s, he was sent overseas to run Elf's Canadian subsidiary.
Isautier, who declined on Monday to be interviewed about his professional history, quickly took to the Canadian energy industry, which was rapidly expanding.
From 1981 to 1988, he worked for Polysar Energy & Chemicals, rising to chief executive of its Canterra Energy unit.
From 1990 to 1992, he was president and chief executive of Thomson Consumer Electronics in Paris.
Isautier first encountered Kazakhstan after he became president and chief executive of Canadian Occidental Petroleum, now known as Nexen, 12 years ago. That company had considered becoming a partner on a Kazakh project. After rejecting the idea as too risky, it operated a field there for Hurricane Hydrocarbons.
Isautier joined Hurricane in 1999 as chief executive. While its operations were widely viewed by Canadian investors as something of a black hole, PetroKazakhstan's treasurer, Jeffrey Auld, said Isautier had seen the company's potential.
"It was a spectacular set of oil fields that was the attraction for him," Auld said Monday from London.
Isautier thought that political changes in Kazakhstan would bring order to the business climate there, Auld said.
But the company is still embroiled in disputes with the Kazakh government. To help ease those problems, PetroKazakhstan hired a former Canadian prime minister, Jean Chrétien, as a special adviser last year, with limited effect.
What Isautier's next move will be is unclear.Under the purchase agreement, the Chinese company agreed to consider paying cash and stock in a new, as yet unnamed oil and natural gas exploration company that Isautier would run in Central Asia, just not in Kazakhstan.
Rival is 'looking at options'
Oil & Natural Gas, the Indian company that was outbid for PetroKazakhstan, is "looking at options," Bloomberg News quoted its chairman, Subir Raha, as saying Tuesday. PetroKazakhstan would have to pay a $125 million breakup fee if it canceled its deal with CNPC.
***By Ian Austen
Published: Wednesday, August 24, 2005
"If anyone who believes that the company can sell billions of new shares at .0012"
O, that is the next misinformation! Great! I will add it to my list.
Anyone said they are going to sell billions of shares at 0.0012? LOL. NOPE.
It states in your link the issue with debt to equity. I do not however see anything about debt defaults and a regulation "A" offering.
https://simplywall.st/stocks/us/healthcare/otc-grst/ethema-health
Interest payments are not well covered by earnings
https://simplywall.st/stocks/us/healthcare/otc-grst/ethema-health/health
Ethema Health Financial Health
Financial Health criteria checks 0/6
Ethema Health has a total shareholder equity of $-8.8M and total debt of $9.9M, which brings its debt-to-equity ratio to -112.2%. Its total assets and total liabilities are $6.6M and $15.4M respectively. Ethema Health's EBIT is $489.1K making its interest coverage ratio 0.4. It has cash and short-term investments of $140.8K.
Key information
-112.2% Debt to equity ratio
US$9.91m Debt
GRST - <<The closest that this company comes to the truth is in the filings>>
***FILING COVER A PERIOD OF TIME (THE PAST)..........NOT WHAT IS HAPPENING NEXT IN THE FUTURE!!!
Truth? The closest that this company comes to the truth is in the filings. If anyone who believes that the company can sell billions of new shares at .0012 with this share structure, any treatment center narrative, and in this market, would be loading up on the stock. As you can see, it isn't happening.
Regulation "A" Offering
https://www.otcmarkets.com/filing/html?id=16623154&guid=kOu-kKnUE8dfJth
....Ethema Health Corporation, a Colorado corporation (the “Company,” “Ethema,” “we,” “us,” and “our”), is offering up to 4,166,666,660 shares (“Shares”) of its common stock...
GRST - FROM REPUTABLE FINANCIAL ANALYST!!!.....
***https://markets.ft.com/data/equities/tearsheet/profile?s=GRST:PKC
***https://simplywall.st/stocks/us/healthcare/otc-grst/ethema-health
***https://nz.finance.yahoo.com/
*** Anyway....Nothing is Cast in Stone........From one Filing to the Next the Company Keeps Working ........Things could be happening that could Change and Improve the All Situation.....
Again from the filing. The press releases have always been suspect.
https://www.otcmarkets.com/filing/html?id=16623154&guid=kOu-kKnUE8dfJth
Total number of full-time employees 18
Total number of part-time employees 27
GRST - The failure by some to see what is going on does not change what is going on......Progress are made and continue to be made!....
The question is, who is spinning around the truth?
Where is the BK?
Where is the March RS?
Where is all the diluting?
Where is the 2 people company?
Where is 42 max bedcount company?
Where is the no net income company?
Where is the.... should I go on
But I am spinning around the story LOL
TO ALL: DO YOUR OWN DD
https://capedge.com/filing/792935/0001903596-23-000263/GRST-10K-2022FY
https://capedge.com/filing/792935/0001903596-22-000804/GRST-10Q-2022Q3
https://capedge.com/filing/792935/0001903596-22-000529/GRST-10Q-2022Q2
https://capedge.com/filing/792935/0001903596-22-000301/GRST-10Q-2022Q1
GRST - << Same like When the Company had 46 Employees you said there was 18!!!>>.....I Very much doubt that the Company would hire 46 Employee IF there was only 41 Bed ???......
*** Anyway....Nothing is Cast in Stone........From one Filing to the Next the Company Keeps Working ........Things could be happening that could Change and Improve the All Situation.....
***https://markets.ft.com/data/equities/tearsheet/profile?s=GRST:PKC
***https://simplywall.st/stocks/us/healthcare/otc-grst/ethema-health
***https://nz.finance.yahoo.com/
You can spin it anyway you like. The bottom line is that the must borrow every quarter to meet their cash flow needs and are not making their debt payments. Even the very short term notes from Leonite have been earning default interest and fees for about a year. How many filings before they get to the point where they can sell shares again? Click on image to enlarge.
For the fiscal year ended: December 31, 2022
https://www.otcmarkets.com/filing/html?id=16535244&guid=QXm-kWGmkEC6Jth
12. Short-term Notes
Leonite Capital, LLC
Secured Promissory Notes
On March 1, 2022, the Company entered into a secured Promissory Note in the aggregate principal amount of $124,000 for net proceeds of $100,000 after an original issue discount of $24,000. Due to the failure to repay the note by due date, a penalty of $37,200 was added to the principal outstanding and the Company incurs a monthly monitoring fee of $2,000 per month. In addition the note earns interest at a default rate of 24% per annum on the total balance outstanding, including the monthly monitoring fee and accrued interest.
The Note had a maturity date of April 1, 2022. This note has not been repaid at the date of this report, we are in negotiations with Leonite to settle the balance outstanding and no default has been declared.
The balance outstanding on the note, including default penalty, interest accrued and monthly monitoring fees is $212,579 as of December 31, 2022.
On May 3, 2022, the Company, entered into a secured Promissory Note in the aggregate principal amount of $76,250 for net proceeds of $61,000 after an original issue discount of $15,250. Due to the failure to repay the note by due date, a penalty of $22,875 was added to the principal outstanding and the Company incurs a monthly monitoring fee of $2,000 per month. In addition the note earns interest at a default rate of 24% per annum on the total balance outstanding, including the monthly monitoring fee and accrued interest.
The Note had a maturity date of June 17, 2022. This note has not been repaid at the date of this report, we are in negotiations with Leonite to settle the balance outstanding and no default has been declared.
The balance outstanding on the note, including default penalty, interest accrued and monthly monitoring fees is $127,702 as of December 31, 2022.
Yet another filing.
1-A-W Filing
https://www.otcmarkets.com/filing/html?id=16642801&guid=kOu-kKnUE8dfJth
Nothing new to come up with it seems....
Here is POST #46723 again....
Double growth??? LOL...
another misleading statement
Q3 2022 had $1,424,943$ in revenues
https://capedge.com/filing/792935/0001903596-22-000804/GRST-10Q-2022Q3
Q1 2023 will be between 1.6 and 1.7.
So 1.65 x 4= 6.6 So if you say double growth you are talking about 13.2 mil...
Is that what I said? 8mil=13.2mil iyo LOL
As far as I know 6.6mil +20% is about 8mil... nobody talking about 100% or double, except YOU.
Just another prove of who is lying and misleading people.
SO.
1.65 in Q1 +10% in Q2
=1.81,5 in Q2 +10% in Q3
=1.99,65 in Q3 +10% in Q4
=2.19,6 inQ4
Totale =7.65 mil revenues without expanding
But hey, I guess numbers don't count, only bullshit!
Their press releases have always been suspect. You have to parse very word. What they print in the filings is another matter. They have been talking about that first floor build out for nearly 2 years now.
Ethema has added an FAQ section to its website https://t.co/L97AvfEQy0 and has established a forum for frequently asked shareholder questions. $GRST
— Ethema Health (@HealthEthema) July 27, 2021
GRST - <<Projecting a doubling of revenue for 2023 from a built out facility with 41 beds>>?
***Bed Count Is Now 62!......
***The third quarter will therefore have an availability of 62 beds for the full quarter.
***Ethema Health Corporation
30 June 2022
***West Palm Beach, FL, June 30, 2022 (GLOBE NEWSWIRE) -- via NewMediaWire -- Ethema Health Corporation (OTCPINK: GRST) (“Ethema” “GRST” or the “Company”) expects its ARIA subsidiary to report a revenue increase of 13% for the second quarter 2022 over the first quarter 2022 when the Company files its Q2 financials with the SEC in July. This expectation is an estimate based on claims submissions to date and the historical collections percentage averages experienced in recent history. The addition of 10 new beds in the newly leased neighboring property came on-line in the first week of June and have been steadily filled since that time. The expected addition of an additional 4 beds has been delayed due to the delays in completion of the first-floor commercial office space renovation. This renovation is complete and an occupancy permit is expected to be issued in the first week of July. The third quarter will therefore have an availability of 62 beds for the full quarter.
The Company also reports that it is in the process of formalizing extensions on its debts, some of which were coming due on June 30. The Company is experiencing strong cash flow and expects to be able to begin debt repayments in the third quarter from cash flow. The final terms will be announced as soon as the documentation on extensions is complete.
Mr. Shawn Leon, Company CEO, reported, “We are pleased with the continued growth in the second quarter and look forward to an even stronger third quarter as we adjust to the growth the additional beds have given us. Our Company, like many others across the country, is finding it challenging to add staff to meet the demands of our growth. We have been able to retain all of our core staff and have successfully integrated our new billing subsidiary during the quarter, which will contribute additional profit as a stand-alone company. We will continue to focus on growth while improving our balance sheet.”
Story continues
***https://nz.finance.yahoo.com/
Projecting a doubling of revenue for 2023 from a built out facility with 41 beds? The regulation "A" circular is the only filing that mentions beds and though they have hyped growth. The narrative remains the same as 2021 and this story is 3 years old now.
Who will actually own the purported 75% ownership of the treatment center by the end of Q2? That owner ship was largely held by secured debt holders in the form of options even before the June Leonite note which is secures by "all of the assets of Ethema Health Corporation and Addiction Recovery Institute of America, LLC".
Ethema Health FAQ Page
https://ethema.wpengine.com/?page_id=683
What can the total bed count be?
The ARIA lease includes approximately 4,000 square feet on the first floor of the building which is currently being built out for staff offices and treatment group rooms. This finished space will allow us to free up space on the second and third floor presently being used for offices and treatment and add 2 more detox beds, and 10 more partial hospitalization beds for a total of 54 beds. This is expected to be completed by September so that these extra beds should reflect in the fourth quarter numbers.
Latest Reg. "A" filing
https://www.otcmarkets.com/filing/html?id=16623154&guid=0Qu-kpw7lR_cwch
Summary
Ethema Health Corporation aims to develop world class centers of excellence in addiction treatment for adults....
...We operate the Addiction Recovery Institute of America, a 41-bed addiction treatment facility located in West Palm Beach, Florida. This facility is a three-story building with unfinished commercial space on the first floor and two floors of mixed commercial and residential space where clients are treated and sleep. The first-floor space is being completed at which time it will allow the center to expand to 52 beds by moving existing treatment space from the 2nd floor to the 1st Floor...
For the quarterly period ended June 30, 2022
https://www.otcmarkets.com/filing/html?id=16018411&guid=kOu-kKnUE8dfJth
Leonite Fund I, LP
Effective June 1, 2022, The Company entered into a Note Exchange Agreement whereby
..., were exchanged for a new Senior Secured Convertible Promissory note in the principal amount of $745,375,... .
...The Note matures on March 1, 2023, and bears interest at the minimum of 10% per annum or the Wall Street Journal quoted prime rate plus 5.75%.
The convertible note is secured by all of the assets of Ethema Health Corporation and Addiction Recovery Institute of America, LLC.
June Leonite Note 8K
https://www.otcmarkets.com/filing/html?id=15961451&guid=kOu-kKnUE8dfJth
...The obligations of the Borrower under this Note are secured pursuant to the terms of the security and pledge agreement (The "Security and Pledge Agreement" and collectively the Purchase Agreement, the "Related Documents"...
Revenues for 2023 will be 8 TIMES today's market cap!
Facts are Facts!
https://capedge.com/filing/792935/0001903596-23-000263/GRST-10K-2022FY
https://capedge.com/filing/792935/0001903596-22-000804/GRST-10Q-2022Q3
https://capedge.com/filing/792935/0001903596-22-000529/GRST-10Q-2022Q2
https://capedge.com/filing/792935/0001903596-22-000301/GRST-10Q-2022Q1
It works both ways, there are people on boards paid to sham stocks to bring them down...
Correct me if I’m wrong but the revenue they book on their quarterlies is nowhere close to what they actually get paid by insurance.
I think they collect about 12% of that revenue and write off most of the balance.
Now they may also collect some money directly from patient families but I don’t recall them talking much about it.
Revenue is not 8X market cap. Net earnings is negative and is why they can't make the payments on their debt. 2022 and so far for 2023 is a period of loading on the debt again. They need new money to keep this scheme going, hence the regulation "A" offering.
The SEC is widening its war on toxic funders
Published on August 24, 2021
https://www.linkedin.com/pulse/sec-widening-its-war-toxic-funders-steve-taylor/
...it also increasingly utilized qualified Reg A offerings to acquire free-trading stock which they then dumped into the market without disclosure....
...This was a significant concern, as Reg A shares are immediately free-trading. That makes it much more attractive to many investors compared to restricted securities sold under Reg D exemptions, but it also is definitely more attractive to those looking to make a quick buck by breaking the law. This case demonstrates the SEC may not have been looking hard enough at the Reg A market for fraud, as certain financiers and funders have been scalping stock without disclosure in the filings....
...To make money on their toxic convertible loan, these funders require volume to dump into. Lots of volume, because they have a lot of stock to sell. Thus the need for lots of promoters, most of whom are non-disclosing as telling the public they are getting paid to pump, and who paid them to do it, would scare even the most die-hard penny plunger away....
How’s it a POS? Looking forward to it squeezing , revenue is 8x the market cap
Just a matter of time because they are unable to pay on their debt. When a company states that they are about to dilute the living crap out of their stock... I believe them. At this point an offering and reverse split may not help them if they aren't able to get new agreements in place with the debt holders.
Ethema Posts Strong 3rd Quarter Results and SEC Qualifies the Regulation A Form 1A Filing
November 29, 2022 08:00 ET | Source: Ethema Health Corporation
https://www.globenewswire.com/en/news-release/2022/11/29/2563968/0/en/Ethema-Posts-Strong-3rd-Quarter-Results-and-SEC-Qualifies-the-Regulation-A-Form-1A-Filing.html
We have repeatedly indicated throughout the year that our dual goals were to grow the company and to manage and repay the debt we accumulated in previous years. In the next few months, we expect to make substantial progress on these goals with the new equity raise outlined in the filed form 1A.
1A-POS
https://www.otcmarkets.com/filing/html?id=16623154&guid=-du-kKSxFGPeJth
Another POS imo….but others on this board like it because the CEO’s extended family are billionaires….which should make you wonder why he just doesn’t clear up all the debts himself….things that make you go hmmm!
Happy with my 2 million shares. Will add more if I can
1.1 mil market cap for at 8,000,000 revenues profit making company
That didn't dilute 1 single share for over 14 months!
GRST could have done a RS and dilute, but they didn't.
Do your own DD
https://capedge.com/filing/792935/0001903596-23-000263/GRST-10K-2022FY
https://capedge.com/filing/792935/0001903596-22-000804/GRST-10Q-2022Q3
https://capedge.com/filing/792935/0001903596-22-000529/GRST-10Q-2022Q2
https://capedge.com/filing/792935/0001903596-22-000301/GRST-10Q-2022Q1
So you like this co???
Smart people loading up millions of shares here
I believe now that the situation for the company is even worse than I have been posting for months. I have always posted from the view that they could remain as a going concern. The receivables funding is essentially a payday loan scheme with very high costs. Lenders like Fox Business Funding offer "Quick Turnaround - Applications for funding are typically reviewed within hour after you apply and funds can be transferred to your account in as little as one business day after approval." The cost of the last two loans is as high as 25%.
Apparently Itria is tapped out and they have moved on to the other two lenders. The fact that they need this short-term, high cost loans and that the regulation "A" offering was originally filed nearly 7 months ago tells me that the are having a problem negotiating with their debt holders. Why else has it become so difficult to get the offering started?
For the fiscal year ended: December 31, 2022
https://www.otcmarkets.com/filing/html?id=16535244&guid=vgu-kntvAcWWJth
15. Receivables funding
May 31, 2022 Funding
On May 31, 2022 the Company, through its 75% held subsidiary, Evernia Health Center, LLC entered into a Receivables Sale Agreement with Itria Ventures LLC (“Itria”), whereby $240,000 the Receivables of Evernia were sold to Itria, for gross proceeds of $200,000. The Company also incurred fees of $4,500, resulting in net proceeds of $195,500. The Company is obliged to pay 6.5% of the receivables until the amount of $240,000 is paid in full, with periodic repayments of $5,000 per week. The guarantor of the funding is a minority shareholder in ATHI.
The Company made weekly cash payment of $5,000 totaling $140,000 on the May 31, 2022 funding and settled the remaining $100,000 liability out of the proceeds of the December 13, 2022 funding, thereby terminating the funding agreement.
September 26, 2022 Funding
On September 26, 2022, the Company, through its 75% held subsidiary, Evernia Health Center, LLC entered into a Receivables Sale Agreement with Itria Ventures LLC (“Itria”), whereby $310,000 of the Receivables of Evernia were sold to Itria, for gross proceeds of $250,000. The Company also incurred fees of $5,500, resulting in net proceeds of $244,500. The Company is obliged to pay 7.41% of the receivables until the amount of $310,000 is paid in full, with periodic repayments of $6,458 per week. The guarantor of the funding is a minority shareholder in ATHI.
The Company made weekly cash payments of $6,458 totaling $83,958 on the September 26, 2022 funding. The balance outstanding at December 31, 2022 was $226,042, less unamortized discount of $48,254.
December 13, 2022 Funding
On December 13, 2022, the Company, through its 75% held subsidiary, Evernia Health Center, LLC entered into a Receivables Sale Agreement with Itria Ventures LLC (“Itria”), whereby $305,000 of the Receivables of Evernia were sold to Itria, for gross proceeds of $250,000. The Company also incurred fees of $2,500, resulting in net proceeds of $247,500. The Company is obliged to pay 6.08% of the receivables until the amount of $305,000 is paid in full, with periodic repayments of $6,354 per week. The guarantor of the funding is a minority shareholder in ATHI.
The Company made weekly cash payments of $6,354 totaling $6,354 on the December 13, 2022 funding. The balance outstanding at December 31, 2022 was $293,646, less unamortized discount of $54,703.
23. Subsequent events
Receivables Funding
On January 19, 2023, the Company received funding from an agreement entered into on December 14, 2022 through its 75% held subsidiary, Evernia Health Center, LLC entered into a Receivables Sale Agreement with Bizfund.com (“Bizfund)”), whereby $132,000 of the Receivables of Evernia were sold to Bizfund, for gross proceeds of $100,000. The Company is obliged to pay 15.0% of the receivables until the amount of $132,000 is paid in full, with periodic repayments of $2,750 per week. The guarantor of the funding is a minority shareholder in ATHI.
On February 14, 2022, the Company, through its 75% held subsidiary, Evernia Health Center, LLC entered into a Receivables Sale Agreement with Fox Business Funding (“Fox”), whereby $118,800 of the Receivables of Evernia were sold to Fox, for gross proceeds of $90,000. The Company is obliged to pay 8.0% of the receivables until the amount of $118,800 is paid in full, with periodic repayments of $2,970 per week. The guarantor of the funding is a minority shareholder in ATHI.
The company is looking past the current group of shareholders who have served their purpose in my opinion. Those funds are long gone and they have been desperate for new funding for a long time as evidenced by the 2022 borrowing and unpaid debt payments.
The last reg "A" filing has consolidated the the offering price with the 1:100 ratio which I believe will easily turn into .12 per share and not per "unit" when amended. I'm thinking that once the split is announced the current market price easily goes to .0001 which would mean something like a 1:2400 reverse split taking the post split price to around .24. The negotiation with lenders is likely around this subject and how much they can depend on retail traders to make each tranche of offering shares match their conversion expectations on a weighted average basis.
Any way you look at it retail will be paying the debt or Ethema Health (GRST) will be out of business. The treatment center will be fine with its separate share structure and investors since the debt liabilities are owned by Ethema Health (GRST). A crafty business model that should not be permitted in my opinion.
Looks like your fearless Canadian leader Leon is content with this dropping to .0001. He could care less about shareholders. Shameful.
I guess that is possible. The beauty of a regulation "A" offering is that the shares are immediately tradable once issued. Toxic lenders used to be able to immediately dump unregistered shares until the rule 144 changes in late 2021 which now requires a holding period of 6 month minimum for unregistered share sales. The June Leonite note gives Leonite the right to participate in any subsequent offering "so long as the borrower shall have any obligation under this note..." as stated in section 3.10 Right of Participation. Notice that the note status now after the March 1st maturity date is "In Forbearance" per the March 1st press release. The new date for the note is today, May 8th. That $745K June note with default interest and penalties in now worth well in excess of $1 million now. That note was exchanged for the Labrys debt of $596K. This is called a toxic debt spiral that is unsustainable.
Note that the latest regulation "A" filing is a post qualification filing with a new statement of "PRELIMINARY OFFERING CIRCULAR DATED April 10, 2023, SUBJECT TO COMPLETION" and paragraph in red stating so with the new date. This is like the original filing and I suspect that it will need to be qualified once again by the SEC which would normally only take a couple of weeks from the filing date. I suspect that we will see a reverse split filing very shortly after a qualification or along with the Q1 filing and subsequent press release. Buyer of regulation "A" offering shares do not buy and hope that the market price increases in my opinion. Rather they acquire them and immediately sell like a toxic lender covering debt payment obligations.
Ethema Extends Dates for Debt Repayment and Real Estate Closing
March 01, 2023 08:00 ET | Source: Ethema Health Corporation
https://www.globenewswire.com/en/news-release/2023/03/01/2618141/0/en/Ethema-Extends-Dates-for-Debt-Repayment-and-Real-Estate-Closing.html
...has signed an extension and forbearance agreement with Leonite Capital Inc. extending the due date for its note due March 1, 2023. The Company will continue to pay interest on the note and it will be due May 8, 2023.
1-A POS filing dated May 4th
https://www.otcmarkets.com/filing/html?id=16623154&guid=tDu-keRV-tGvJth
An offering statement pursuant to Regulation A relating to these securities has been filed with the Securities and Exchange Commission. Information contained in this Preliminary Offering Circular is subject to completion or amendment....
PRELIMINARY OFFERING CIRCULAR DATED April 10, 2023, SUBJECT TO COMPLETION
Leonite June note 8K
https://www.otcmarkets.com/filing/html?id=15961451&guid=tDu-keRV-tGvJth
Since most of the Reg A filings these days are bought by existing debtors (in place of convertible notes), I’m going to guess that the Leon family itself will be the buyers along with some really fine print that allows them to pay dividends on those shares.
Folks don't want to buy .00004s, afraid of becoming bag holders, even .0003s can be risky, therefore no volume.
Every company that files a form A the volume goes to almost 0.Can't sell anything without volume.Sorry just venting,my .0006ss are looking sad.
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