Ethema Health Corp (GRST)

[Bubae]

This company is at the top of the breakout board now because of what I see as manipulation that began on June 5th with the first inside trades. So I have posted a couple of possibilities for shares that they would like to dump in posts# 50221 and 50216.

Another reason for the walk-up prior to the potential debt conversions is the effect that it would have on the warrant that Leonite holds that was renegotiated in June of 2023. Leonite is entitled to warrants totaling 20% of the outstanding shares count which is currently 745,810,761 shares. The basis price is $0.001 as it stands. However, if there is a dilutive issuance that price resets to the price of the dilution and shares are once again added to the warrant to the tune of 20% of the newly issued dilutive shares. The anti dilution language is on page 15 of the warrant exchange agreement linked below. I used the windows magnifier to view the document.

Beginning to see why price matters and why they are reluctant to split the stock? It would appear that post split dilution to support an offering would once again be a dilutive issuance and again lower the basis price for the warrant and again add more shares. Leonite has had a choke hold on this company for years and bleeds it dry at every opportunity. Like a parasite Leonite just allows the host to survive to the point where they can continue to feed off of it.


Warrant Exchange Agreement
https://www.sec.gov/Archives/edgar/data/792935/000190359623000607/ex10_8.htm

Bubae
Re: None
Saturday, June 29, 2024 10:39:08 AM
Post# 50221 of 50271
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=174679104

It looks to me like manipulation is certainly occurring and looking back the the trading activity departed from the norm beginning on June 5th with the first reported purchase of shares by the CEO's wife. Chart inserted below...

Consider another aspect of the current tactic that is being deployed is the 100 million shares that Eileen Greene, the wife of the CEO, purchased in June of 2020 then assigned to Ethan Leon, the son...

Bubae
Re: Think1st post# 50209
Friday, June 28, 2024 7:44:10 PM
Post# 50216 of 50271
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=174677602

The balance on the Bauman note as of March 31st was $124,769 and can convert at any time and the third extension on the $250K Mirage Realty note was June 15th. They are deploying a tactic to walk it up to make room for the conversions which will require a lot of new shares before the split.

For the fiscal year ended: December 31, 2023
https://www.sec.gov/ix?doc=/Archives/edgar/data/0000792935/000190359624000279/grst_10k.htm

Page F-25

Warrant exchange agreement

On June 28, 2023 the Company entered into a Warrant Exchange Agreement with Leonite that exchanged a Warrant outstanding to Leonite originally issued on June 12, 2020 for a new Warrant dated June 30, 2023. The substantial changes to the warrant affect the number of shares in the warrant, the exercise price and the term. The original warrant provided for Leonite to have a continuing right to purchase a 20% share of the outstanding common shares until it expired on June 12, 2025 which was originally set at 326,286,847 shares. The new warrant is exercisable for 745,810,761 shares, 20% of the current number of common shares outstanding, with no allowance for adjustment, except normal adjustments due to splits or consolidations, until the new expiry date of June 30, 2027. The exercise price in the original warrant was $0.10, with allowance for adjustments, which when applied resulted in an exercise price of $0.0004 per share. The exercise price on the new warrant is $0.001 and is only adjustable if the Company issues any shares at a price less than the exercise price during the warrant period except for any issuance of shares to the Company’s president or related parties on any debt outstanding to those parties as of June 30, 2023, and limited to a conversion price of $0.0005 per share. The Warrant Exchange agreement was conditional on Leonite receiving a full payment of all of its outstanding loans originally set as by July 20, 223. This date was extended and all of the notes were repaid on August 4, 2023. Leonite held several notes at June 30, 2023, some of which were convertible into shares at variable rates, see notes 9 and 10 above. The total amount repaid to settle all of the outstanding liabilities was $1,449,000.