News

NewMediaWire | Ethema Closes New Financing

West Palm Beach, Florida – (NewMediaWire) – June 9, 2021 – Ethema
Health Corporation (OTCPINK: GRST) (“Ethema” “GRST” or the “Company”), is
pleased to announce that the Company received a new fixed rate convertible note
financing from Labrys Fund, LP.  The details have been released in an 8-k
filed today with the SEC.  The Company closed on a one year convertible
note in the face amount of $230,000.00 including an OID of 10% and a fixed
conversion price of $0.004 per share.  The Company is using the proceeds
of the loan to pay certain outstanding liabilities and for general working
capital. 

The Company is bolstering its
working capital so that it may continue to pay debts as they become due and
work on expanding the treatment facility in West Palm Beach
Florida.   The Company has submitted all requested documentation to
the Florida Department of Children and Families for the ownership change for
its acquisition of the ARIA treatment Center and is expecting an approval to be
issued imminently.  The treatment center continues to perform well and hit
capacity several times in recent weeks.  Construction work on expansion
was delayed due to a submission of revised drawings but has restarted recently
and is expected to be completed in the next 60 days.  This expansion will
increase the number of beds in the treatment center from 40 to 52.  The
Company plans to use some of the new working capital to improve its website and
to implement a system for more frequent communication with its very valued
shareholders. 

2021 year to date the Company has
replaced or retired almost $900,000 in debt that became due in 2021. 
Approximately $500,000 of debt was replaced with fixed price convertible notes
and approximately $400,000 of debt was retired through conversion to
equity.  In addition, warrants to purchase approximately 119 million
shares were exercised and are no longer outstanding.    These
are all significant improvements to the Company capital structure as the
Company continues its efforts to improve the balance sheet.

Mr. Shawn Leon, the CEO of the
Company, stated, “I am very pleased that the Labrys Fund has continued to show
faith in the Company and I am very pleased to continue our aggressive pursuit
of eliminating debt while building our business.  I have heard from many
shareholders that they would like to hear from me more frequently and I am
going to work on an effective method to accomplish this.”  

About
Ethema Health Corporation

Ethema Health Corporation
(OTCPINK: GRST) operates in the behavioral healthcare space specifically in the
treatment of substance use disorders. Ethema developed a unique style of
treatment over the last decade and has had much success with in-patient treatment
for adults. Ethema will continue to develop world class programs and techniques
for North America.  For more information you can visit our website at www.ethemahealth.com .

Notice Regarding
Forward-Looking Statements

The information contained herein
includes forward-looking statements.  These statements relate to future
events or to our future financial performance, and involve known and unknown
risks, uncertainties and other factors that may cause our actual results,
levels of activity, performance, or achievements to be materially different
from any future results, levels of activity, performance or achievements
expressed or implied by these forward-looking statements. You should not place
undue reliance on forward-looking statements since they involve known and
unknown risks, uncertainties and other factors which are, in some cases, beyond
our control and which could, and likely will, materially affect actual results,
levels of activity, performance or achievements.  Any forward-looking
statement reflects our current views with respect to future events and is
subject to these and other risks, uncertainties and assumptions relating to our
operations, results of operations, growth strategy and liquidity.  We
assume no obligation to publicly update or revise these forward-looking
statements for any reason, or to update the reasons actual results could differ
materially from those anticipated in these forward-looking statements, even if
new information becomes available in the future.

For
information please contact:

Ethema Health Corporation

Text to 416-500-0020

shawn@ethemahealth.com

Twitter @healthethema

Source link

Show More

Related Articles

Back to top button