Wednesday, June 22, 2016 5:05:03 PM
QUES 0.18 - 500k dept forgiven, 1 million shares cancelled
EUGENE, OR / ACCESSWIRE / June 21, 2016 / Quest Solution, Inc. "The Company" (OTCQB: QUES), today announced the Board of Directors has approved the creation of a Series C Preferred Stock for the purpose of converting approximately $4.5 million of subordinated debt into approximately 4.5 million of the newly created Series C shares as well as approximately 350,000 Series C shares in connection with the Company's redemption and cancellation of 1,000,000 common shares. In addition, the Viascan Group has voluntarily forgiven $500,000 of debt that was assumed in relation to the acquisition of ViascanQdata in October 2015.
"We took creative and non-dilutive steps to reduce our subordinated debt by nearly 25% from the end of the first quarter, significantly streamlining our capital structure and improving our balance sheet to help us better execute our growth strategy," commented Gilles Gaudreault, Chief Executive Officer of Quest Solution, Inc. "Our capital structure is now better aligned with the long-term objectives of our business and places Quest Solution in an even stronger position to grow our business and serve our customers. Today's announcement illustrates the support and confidence our debt holders and the previous owners of Viascan, including myself, have in the outlook for our business."
As of June 21, 2016 there were 15 million Series C preferred shares authorized and approximately 4.9 million outstanding. These preferred shares are expected to pay a cash dividend of 6% per annum on a quarterly basis, pending Board approval and authorization. The Series C preferred shares are convertible into common shares of the company on a one-for-one basis. The Company has the option at any time to redeem the Series C preferred shares at a redemption price of $1 per share. For the second half of the year, the Company will continue its efforts to solidify the balance sheet position.
http://finance.yahoo.com/news/quest-solution-further-streamlines-capital-123000706.html
Chart:
EUGENE, OR / ACCESSWIRE / June 21, 2016 / Quest Solution, Inc. "The Company" (OTCQB: QUES), today announced the Board of Directors has approved the creation of a Series C Preferred Stock for the purpose of converting approximately $4.5 million of subordinated debt into approximately 4.5 million of the newly created Series C shares as well as approximately 350,000 Series C shares in connection with the Company's redemption and cancellation of 1,000,000 common shares. In addition, the Viascan Group has voluntarily forgiven $500,000 of debt that was assumed in relation to the acquisition of ViascanQdata in October 2015.
"We took creative and non-dilutive steps to reduce our subordinated debt by nearly 25% from the end of the first quarter, significantly streamlining our capital structure and improving our balance sheet to help us better execute our growth strategy," commented Gilles Gaudreault, Chief Executive Officer of Quest Solution, Inc. "Our capital structure is now better aligned with the long-term objectives of our business and places Quest Solution in an even stronger position to grow our business and serve our customers. Today's announcement illustrates the support and confidence our debt holders and the previous owners of Viascan, including myself, have in the outlook for our business."
As of June 21, 2016 there were 15 million Series C preferred shares authorized and approximately 4.9 million outstanding. These preferred shares are expected to pay a cash dividend of 6% per annum on a quarterly basis, pending Board approval and authorization. The Series C preferred shares are convertible into common shares of the company on a one-for-one basis. The Company has the option at any time to redeem the Series C preferred shares at a redemption price of $1 per share. For the second half of the year, the Company will continue its efforts to solidify the balance sheet position.
http://finance.yahoo.com/news/quest-solution-further-streamlines-capital-123000706.html
Chart:
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