Tauriga Sciences Inc. Formally Cancels All Remaining Back-End Convertible Debentures Held by Adar Bays LLC in Connection with the $210,000 Financing Agreement from September 2017
NEW YORK, NY, April 16, 2018 (GLOBE NEWSWIRE) -- Tauriga Sciences, Inc.(TAUG) ("Tauriga" or the "Company"), engaged in building its business through the development, distribution, and licensing of proprietary products as well as the evaluation of potential acquisition opportunities inclusive of equity investments, today announced the formal cancellation of all remaining outstanding Back-End Convertible Debentures (“Back End Notes”) pertaining to Adar Bays LLC (“Adar Bays”). None of these 6 distinct Back-End Notes, totaling $180,000, had been funded as of today’s date and they all relate to the $210,000 share purchase agreement entered into during September 2017.
On September 11, 2017, Tauriga entered into a Securities Purchase Agreement (the "Purchase Agreement") with Adar Bays, LLC ("Adar Bays") whereby the Company issued to Adar Bays 7 distinct 8% Convertible Redeemable Notes each in the principal amount of $30,000, or in the aggregate principal amount of $210,000.
The first 8% Convertible Redeemable Note (the "First Note") was funded with gross cash proceeds of $28,000 to the Company by September 12, 2017. The remaining 6 distinct 8% Convertible Redeemable Note (collectively, the "Back-End Notes" or the “6 Back-End Notes”) were each initially paid for by a corresponding offsetting promissory note issued by Adar Bays to the Company (collectively, the "Note Receivables" or “Back-End Notes”).
The First Note, as referenced above, was repaid by the Company during early March 2018 for a one-time cash payment of $43,045.00. The 6 Back-End Notes, as also referenced above, have all been formally canceled as of today’s date. There is no convertible debt held by Adar Bays as of April 16, 2018.
Commenting on this development, Tauriga’s CEO Seth M. Shaw stated “The Company has worked diligently to curtail future potential sources of share dilution and will continue to do so at all times. Additionally, the Company is focused on completing a major potential acquisition during calendar year 2018 (as previously disclosed) and will notify its shareholders, should an agreement be reached.”
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