True this was a business transaction and not exactly a repossession. However, it basically amounted to it. There are certain facts that can be found in the filings that btzo was deeply in debt to companies owned by kevin kreisler. Btzo had no cash and very little revenue and an already inflated share structure and no volume..in other words, they had absolutely no way of repaying this debt so they entered into this agreement. Now, there's a new lender in the mix that will eventually factor in and probably end up owing btzo in 8 months from now. Here's a snippet of the gers filing...now if btzo cannot pay back this loan by the end of the year, the new lender will own all of btzo..I'm sure a similar deal will be struck then...would it be a repossession? Not really, but just like the transaction that just happened, it would basically amount to one.....
Guaranty of Bitzio Debt
The $2,500,000 paid by Bitzio to GreenShift was drawn from a loan of $2,900,000 made to Bitzio by TCA Global Credit Master Fund, LP ("TCA"). The loan was made on December 31, 2015, pursuant to a Senior Secured Revolving Credit Facility Agreement (the "Credit Agreement"), under which TCA may lend to Bitzio up to $5,000,000. GreenShift and each of its subsidiaries, as well as each of the other subsidiaries of Bitzio, has executed a Guaranty Agreement dated December 31, 2015, in favor of TCA. In the Guaranty Agreement, GreenShift and each of its subsidiaries guaranteed payment of all amounts due to TCA under the Credit Agreement. By separate agreements, GreenShift and each subsidiary pledged all of its assets to secure the guaranty to TCA.
