West Palm Beach, FL , Oct. 05, 2022 (GLOBE NEWSWIRE) -- via NewMediaWire -- Ethema Health Corporation (OTCPINK: GRST) (“Ethema” “GRST” or the “Company”) previously announced that it had entered into an option to purchase the building at 950 Evernia Street , West Palm Beach. This building is leased by the ARIA subsidiary for its addiction treatment operations. On October 3, 2022 , Ethema signed a purchase and sale agreement (“Agreement”) to purchase the building and paid a $350,000.00 deposit as part of the Agreement, bringing the total deposit to $400,000 after getting credit for the $50,000.00 option payment. The Agreement has a closing date of January 31, 2023 . The Agreement also provides for a seller’s note which will provide the majority of the balance of funds necessary to close the deal. The company plans to raise additional equity for the purchase through a Regulation A financing.
On September 30, 2022 the Company’s ARIA subsidiary obtained occupancy of its newly built first floor space and is now in the process of moving offices and staff out of space on the second and third floors, making room to add additional beds on the upper floors. These beds will come on stream early this month. The first-floor space will also provide additional capacity for outpatient services. This is the last step required to reach the full capacity of the property.
Mr. Shawn Leon , Company CEO, reported, “We are pleased with the Company’s ability to have reached these steps towards providing full capacity and securing long term control over the ARIA property. Our third quarter revenues set a new record and we had an approximately 25% revenue increase over the second quarter in spite of the usual summer soft period in our industry. Full results will be posted with our quarterly filing. We have also attempted to secure additional growth and expansion outside of the ARIA property, but neither of the opportunities the Company was working on in the third quarter were won by the Company and went to other bidders. We will continue to pursue similar opportunities to expand. We continue to work on eliminating debt, especially convertible debt, and with stronger cash flow each month and the potential to raise new equity with a Regulation A offering at much higher prices than the current market, we believe we will be able to make significant strides on that front in the fourth quarter.”
