Solei Systems Inc. (fka SOLI)

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nice! separating panoxol from CareClix:


The Board's decision to execute the Share Exchange Agreement between SOLI and Clinical & Herbal Innovations, Inc. is based on a number of factors. The Company currently has two operating subsidiaries, CHII and CareClix, Inc. These two operating businesses have totally separate and distinct business models which require management to direct their time and energy into two opposite directions in order to operate both subsidiaries. SOLI has already declared its intention to rename the Company from Solei Systems, Inc. to CareClix Holdings, Inc. and to likewise change its trading symbol to align with the brand name “CareClix”. The Company previously filed a Schedule 14DEF on April 9, 2020 declaring its intention to change both the name and trading symbol in this regard, and that process in ongoing due to the Company’s need to file a new Form 211 with FINRA following the temporary trading suspension issued by the SEC on April 10, 2020. Once the Form 211 is accepted by FINRA, SOLI intends to file with FINRA in order to change the name and symbol, as already approved. Therefore, the Board has already made clear its goal is to focus on the CareClix aspect of SOLI’s operating businesses, which by necessity demotes its other operating subsidiary, CHII, to second position, meaning that its operations are no longer aligned with the long-term goals of SOLI.

In addition, CHII’s balance sheet shows sizeable liabilities, which are consolidated with those of SOLI. Upon the closing of the Share Exchange Agreement, CHII will take with it a total of $1,526,750 in CHII liabilities, such that post-closing, SOLI’s liabilities will effectively be reduced by $1,526,750,which is ultimately to the benefit of all SOLI shareholders, since SOLI’s post-closing financial statements should in theory be more attractive to institutional investors.

Reasons for the Share Exchange with CHII

The primary purpose for effecting the Share Exchange with CHII is to focus SOLI’s operations on its CareClix business, and to remove CHII liabilities from SOLI’s consolidated financial statements for the benefit of all SOLI shareholders and in order to make SOLI more attractive to institutional investors.

https://www.otcmarkets.com/stock/soli/disclosure