Business
Hop-on CEO Negotiates $7 Million Reduction in Debt
Hop-on CEO Negotiates $7 Million Reduction in Debt.
About this update from Hop-on, Inc.
[{"type":"text","content":"\n \n \n Hop-on CEO Negotiates $7 Million Reduction in Debt\n \n \nHop-on CEO Negotiates $7 Million Reduction in Debt\n\n100% Long Term Liabilities Reclassified as Paid in Capital\n\n \n TEMECULA, CA--(Marketwired - Apr 30, 2014) -  Hop-on, Inc. (OTC Pink: HPNN) (PINKSHEETS: HPNN) is pleased to announce that today it has received executed Debt Exchange Agreements from two major debt holders. The reduction in debt with these Debt Exchange Agreements will be $7,162,000.00. This means there will be no dilution of shareholders from debt conversions for over a year and a positive $7.1 million paid in capital on the balance sheet. \n These Debt Exchange Agreements remove $7,162,000 in debt from Hop-on's balance sheet. Not only will the long term debt be removed from the balance sheet, but the conversion to preferred equity provides a boost to the stockholders' equity portion of the balance sheet, and this amount can now be booked as additional paid in capital. This positive financial move will be reflected in the next financial statement filed by the company.\n Peter Michaels, Hop-on CEO, stated, \"As promised, Hop-on is not diluting the current shareholders. Further, there is no reverse split on the horizon. The debt could have been converted into common shares that would dilute the shareholders' positions. However, these agreements stipulated the preferred shares must be held for at least one year. This is positive for current and future shareholders, as the value of their investment should not be diluted, adding value to their commitment to Hop-on. These agreement prepare Hop-on's balance sheet for significant increase in stockholders' equity moving forward.\"\n About Hop-on, Inc.\n Hop-on, Inc. is a global ODM and OEM manufacturer of electronics, based in the United States. Over the past 20 years, Hop-on has successfully secured essential patents for mobile communications and computing technologies, and is respected for developing the world's first disposable cell phone. Hop-on's focus on smartphones and innovative mobile device applications is bringing cost friendly solutions to today's demanding world market. Hop-on is also diversified in nutraceutical and cannabinoid technologies through its subsidiary Re-Medical, Inc. For more information, please visit www.hop-on.com\n Forward-Looking Statements\n Certain s...