TORONTO, Oct. 22 /CNW/ - Cencotech Inc. (CTZ - TSX-V) today announces the completion of its extension agreements with its convertible debenture ($1,000,000) holder and its secured debt ($300,000) provider to extend the term on these facilities from September 30th, 2008 to September 30th, 2009. The outstanding debenture is convertible into common shares of the Company and the quid pro quo for the extension to September 30th, 2009 on these facilities was the reduction of the conversion price from $0.125 to $0.10 principal amount per common share, all other terms of the convertible debenture remaining unchanged.
K. Barry Sparks, the President of Cencotech, stated "Given the present turmoil in debt markets, we are pleased to have arranged extension to our funded debt. The Company is making progress in its strategy to enhance its sales for both software and hardware with 17 units of the newest iteration of the CashNet product being shipped in the quarter ending October 31st, 2008. In terms of software, substantial progress is being made in discussions with large retailers and financial institutions to adopt the CC-32 Currency Controller and related products into the operations of these customers in early 2009. While the present difficulties in financial markets are disruptive for all businesses, given the efficiency the Cencotech products bring to users, the outlook for the future of the Company continues to be positive".
Cencotech Inc. products are designed to bring efficiency to the processing of currency and other value instruments in financial institutions, large retailers, public transportation operations and the gaming industry. Cencotech's proprietary software products for this market are "open-architectured" and have been developed to interface with clients' legacy systems.
The TSX Venture Exchange has neither approved nor disapproved of the information contained in this release. This Media Release contains forward-looking statements, which reflect the Corporation's current expectations regarding future events. The forward-looking statements involve risks and uncertainties. Actual events could differ from those projected herein and depend on a number of factors including the success of the Corporation's sales strategies.