Dallas, TX -- February 6, 2024 -- InvestorsHub NewsWire -- Vaycaychella, Inc. (OTC Pink: VAYK) ("VAYK") today announces that the company has increased its net equity by more than $2.5 million, which results from the company successfully reaching debt reduction agreements with previous debtors and investors over the past few fiscal quarters. The overwhelming majority of the debt was eliminated without any reciprocal consideration.
"The majority of the eliminated debts date back to agreements more than 10 years old when the company was under a totally different name and managed by a totally different team, and engaged in a totally different business," says Bill Justice, CEO of the company. "Furthermore, the subject debts were no longer even held by the parties that entered into the original debt agreements."
"In such a context, and with the introduction of new strategic investors, we were able to successfully convince some holders of the legacy debts that it was time for them to move on. We are grateful and very appreciative that most of them agreed to forgive these legacy debts."
One major debtor, according to the company's filings on OTC Markets, forgave all debts owed to him without consideration. This covers all outstanding balances including default penalties resulting in a total reduction of over $2.1 million.
Another debtor, according to the filings, forgave approximately $130, 000 of outstanding debt without consideration.
A third debtor reached an agreement with the company to cancel and waive all the outstanding interest and fees on a total amount of approximately $143,000, without consideration. The same debtor also agreed to convert all the principal of his debt into common shares at a price about ten times higher than the average trading price at the time of conversion. As of today, the executed conversion price is still more than 100% above the trading price of the company's shares.
"Overall, our restructuring campaign led to a debt reduction of approximately $2.55 million, of which about $2.37 million was complete forgiveness or cancellation," said Mr. Justice. "This has resulted in an net equity increase of almost the same amount. Allocated to our approximately 862 million outstanding shares, it equals to a net equity increase close to $0.003 per share."
The company plans to communicate more details regarding its recently updated comprehensive business plan in the following weeks via additional news releases.
