Labrador Technologies Enters into Debt Settlements and Debt Forgiveness Agreements and Cancellation of Stock Options
Labrador Technologies Enters into Debt Settlements and Debt
Forgiveness Agreements and Cancellation of Stock Options
Calgary, Alberta - October 28, 2019 – Labrador Technologies Inc. (“ Labrador” or the “ Corporation”)
(TSXV: LTX) announces that it has entered into Debt Waiver and Settlement Agreements with The Estate of
H. Ronald Sterne (the “ Estate” or the “ Creditor”) relating to an aggregate amount owing of $676,116;
consisting of $575,136 in unpaid salaries and $100,979 in shareholder loans (including interest), of which,
$500,136 of the unpaid salary has been forgiven with the remaining portion of $75,000 in unpaid salary and
$100,979 in shareholder loan payables settled by issuance of 3,519,588 shares of the Corporation at a price
of $0.05 per Share and a cash payment of $6,000 (the “ Transaction”). The Creditor is considered to be a
“related party” within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders
in Special Transactions (“MI 61-101”). It is anticipated the Transaction will be exempt from valuation and
minority approval requirements applicable to certain related party transactions on the basis that the value of
the Transaction is less than 25 percent of the Corporation’s market capitalization.
Further, the Corporation has provided notice and have agreed with certain directors, officers, former
consultants and former employees of the Corporation to cancel an aggregate of 16,000,000 stock options
previously held by such directors, officers, former consultants and former employees. Under the Corporations
rolling stock option plan, the Corporation can grant up to a maximum of 10% of the issued shares of the
Corporation at any time.
During the current fiscal year, the Corporation has made significant progress in reductions costs and
operational debt. The Corporation continues its efforts on restructuring and the evaluation of potential future
investment opportunities.
The issuance of the shares is subject to all necessary approvals, including the approval of the TSXV. The
shares issued in satisfaction of the indebtedness will be subject to a four month hold period from the date of
their issuance.
About Labrador Technologies
Labrador Technologies Inc. is a Calgary, Alberta based technology company evaluating new opportunities in
the technology, oil & gas and Canadian cannabis sectors.
For further information, please contact:
Kaan Camlioglu, Interim Chief Executive Officer
T: (403) 818-1091
Dean Stuart
T: (403) 617-7609
Neither the TSX Venture nor its Regulation Services Provider (as that term is defined in the policies of the
TSX Venture) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements Certain information in this press release may constitute forward looking
information within the meaning of securities laws. All statements, other than statements of historical fact, are
statements that could be deemed forward-looking statements, including statements containing the words
"proposed", "process," "expects," "explore," and other similar words. These statements are based on the
current estimates and assumptions of our management as of the date of this press release and are subject to
risks, uncertainties, changes in circumstances and other factors that may cause actual results to differ
materially from the information expressed or implied by forward-looking statements made in this press
release. In particular, but without limiting the foregoing, this news release contains forward-looking
statements pertaining to the following: the shares for debt transaction with the Estate; the debt waiver with
the Estate; and the anticipated cancellation of stock options held by such directors, officers, former
consultants and former employees, and the applicability of the MI 61-101 exemption . Examples of such
statements include statements regarding potential strategic alternatives. Given these uncertainties, you
should not place undue reliance on the forward-looking statements in this press release. The forward-looking
statements contained in this document are made as at the date of this news release and Labrador does not
undertake any obligation to update publicly or to revise any of the included forward-looking statements,
whether as a result of new information, future events or otherwise, except as may be required by applicable
securities laws.