Business
Solution Financial Announces $5 Million Unsecured Convertible Debenture Financing and Expansion into Ontario
Vancouver, British Columbia--(Newsfile Corp. - January 4, 2021) - Solution Financial Inc. (T...
About this update from Solution Financial Inc.
[{"type":"text","content":"Solution Financial Announces $5 Million Unsecured Convertible Debenture Financing and Expansion into OntarioVancouver, British Columbia--(Newsfile Corp. - January 4, 2021) - Solution Financial Inc. (TSXV: SFI) (the \"Company\") is pleased to announce a non-brokered financing up to $5,000,000 principal amount convertible debentures (\"Debentures\"). The Debentures will mature on the second anniversary of the date of issuance (the \"Maturity Date\") and bear interest at a rate of 5.00% per annum, calculated and paid semi-annually. The principal amount and any accrued and unpaid interest on the Debenture may be convertible into Common shares, in whole or in part, at any time following the Issue Date but on or before the Maturity Date at a conversion price of $0.50 per Share. The Company plans to use the proceeds of the financing to support the Company's expansion plans into Ontario. The Company recently received its license to operate in Ontario from Ontario's Vehicle Sales Regulator (\"OMVIC\").\"Our luxury leasing offerings remained steady throughout 2020 despite the COVID19 pandemic,\" said Bryan Pang, CEO. \"Although the number of international students enrolling and returning in September was down as much as 58% according to Stats Canada, our monthly leasing volumes remained over $2.6M per month for fiscal 2020 ending October 31, 2020, with a notable uptick to $2.8M per month for the final fiscal quarter of 2020. We also saw this as an opportunity to expand our offering into Ontario after the successful expansion into Alberta in early 2020. Our proprietary leasing system is perfect for market expansion as it requires very little overhead to support adoption and will help Ontario luxury automobile dealers sell more vehicles, faster and easier than with traditional lending systems and lease offerings,\" concluded Bryan.The offering of the Debentures is subject to the receipt of all necessary approvals, including the approval of the TSX Venture Exchange.The Debentures will not be listed or posted for trading on any exchange. About Solution FinancialSolution Financial was incorporated under the provisions of the Business Corporations Act (British Columbia) in 2004 and specializes in sourcing and leasing luxury and exotic vehicles, yachts and other high value assets. Solution works with a select group of automotive and marine deale...