Jenex Announces TherOZap(TM), the Company's Next Generation Thermal Therapy Insect Device and Proposed Share for Debt Settlement Terms
Toronto, Ontario--(Newsfile Corp. - November 18, 2016) - The Jenex Corporation (TSXV: JEN.H) ( "Jenex", or the "Company"). Jenex announces TherOZap™, the name of the Company's next generation thermal therapy insect device, and debt settlement terms.
TherOZap™ will utilize advanced technology to provide relief to sufferers of insect bites and stings. Rob Fia, CEO & Chairman comments: "TherOZap™ will continue to provide the quick relief from pain, itch and stings caused by insect bites that our customers have come to expect. The new product will incorporate new features that will lever advanced technology to deliver a more efficient and user-friendly experience. Completion of our working prototype is on schedule and the Company will have more to report about TherOZap™ in the near future.
Jenex has outstanding debentures (the "Debt") in the total principal amount of $600,000. No interest is payable on the Debt. Jenex proposes to settle the Debt on the basis that (a) the outstanding principal amount will be paid by the issuance of common shares at a price of $0.05 per share, resulting in the issuance of 12,000,000 common shares to settle $600,000 of Debt.
The Debt is interest free, and was due and payable during December 2017. The Debt is secured by a security interest against the assets of the Company. The security interest will be removed upon closing of the share for debt transaction.
Jenex also proposes to settle unsecured debts totaling approximately $208,884 by the issuance of 4,177,680 common shares at a price of $0.05 per share and to settle unpaid management and director fees dating as far back as 2013 totaling $644,500 by the issuance of 12,890,000 common shares at a price of $0.05 per share.
Some of the holders of the unsecured debt are related parties of Jenex under Multilateral Instrument 61-101 ("MI 61-101"). Jenex is exempt from the formal valuation requirement and shareholder approval requirement of MI 61-101, as described in more detail in the material change report to be filed in connection with this debt settlement. Having regard to these exemptions and the Corporation's desire to settle outstanding debt as soon as possible, Jenex believes that it is reasonable to close this share issuance less than 21 days after the date of this news release. The Company will have approximately 139,420,117 shares following closing of the share for debt transaction.
Rob Fia, CEO & Chairman comments: "With this debt settlement Jenex will have successfully settled over $4.5 M in debt and interest from our balance sheet since December 2014. In addition to the debt settlement a considerable amount of unsecured supplier debt and management fees have been removed from our balance sheet. We would like to thank both our debt holders and suppliers for believing in Jenex and our management team as we transition the company to focus on growth, improvement of cash flow, and maximization of value for shareholders. We feel the settlement of these debts will allow Jenex to attract capital to exploit growth opportunities and focus on becoming a successful consumer product Company with strong brands which will drive positive results that will improve shareholder value."
The settlement of debt as described above is subject to approval by NEX and the execution of documentation by the holders of Debt.
Jenex is a progressive medical device technology company focused on providing consumers with quality medical devices that address their dermatological needs. Clear and healthy skin for all is at the core of Jenex's philosophy as is the belief that such outcomes should not be a privilege for only those who can afford costly procedures and treatments. The Company's breakthrough proprietary thermal therapy technology uses heat and light energy to deliver effective, non-invasive and pain free skin care. The Jenex Corporation trades on the NEX (TSXV: JEN.H). For more information visit: www.thejenexcorporation.com or www.interceptcs.com
FORWARD LOOKING STATEMENTS
Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events or the Company's future performance and include the proposed settlement of debt, settlement of supplier debt and settlement of management fees, working prototypes and attracting capital in the future as described in the news release. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking statements. In addition to other risks, the Company could be unable to complete some or all of the debt settlement, supplier debt settlement or management fee settlement if the Company does not receive NEX approval or if the Company is unable to reach agreement with the debt holders, suppliers or management on the settlement documentation. Further, the Company may not receive a working prototype on the schedule it expects or attract capital in the future. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved. Actual results could differ materially from those anticipated due to a number of factors and risks. Although the forward-looking statements contained in this news release are based upon what management of the Company believes are reasonable assumptions on the date of this news release, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
For Further information please contact:
The Jenex Corporation
CEO & Chairman
Phone: (416) 722-4994