Ethema Health Corp (GRST)

[Bubae]

Shawn Leon needs to do something about that $4 million in defaulted series "N" notes. It isn't a good look when the narrative for the regulation "A" offering is going to be growth through acquisition using this same failed business model with the so called "new strategic partners". Again, this means real investors of the separately structured asset make money from retail losses in this stock.

Watching to see if Shawn is exercising the option in the purchase agreement for the property that was "contemporaneously" sold in the off balance sheet lease back scheme. The deal for the Evernia Health Treatment Center property was back dated as effective September 30th 2022 with an option for a one year balloon note that matures January 31st 2024. Shawn could have banked the proceeds intended to pay on the Evernia Treatment center property and simply assume the liability for the one year of payments. If he can secure a mortgage for the property he could possibly use the proceeds from the lease back scheme to settle the $4 million in defaulted series "N" notes. Then, like the leaseback scheme, he will need to pay monthly on the new arrangement when before he was paying nothing to service the defaulted notes. So the new press release boasts that they repaid the $4 million in defaulted debt by simply reclassifying the liability like before. Probably once again claim to have paid the debt with profit from the lease back scheme.


Ethema Releases Profitable Quarterly Results
November 22, 2023 15:16 ET
https://www.globenewswire.com/en/news-release/2023/11/22/2785018/0/en/Ethema-Releases-Profitable-Quarterly-Results.html

Mr. Shawn Leon, Company CEO, reported,...
The Company is working on raising new equity investment through both its Reg A+ offering and new strategic partners. These prospective financings are priced well above the current market prices.

10.2 Purchase Agreement and Addendums
https://www.otcmarkets.com/filing/html?id=16855888&guid=rGJ-kKMYSjkPB3h#ex10_2_htm