MyDx Inc (OTCMKTS:MYDX) reported the successful resolution of the combative association with the firm and its convertible debenture lenders. The firm took an aggressive stance, submitting for a temporary preventive order when it considered that it had fully met its obligations to specific notes on its balance sheet, yet persist to get conversion notices to settle balances that were claimed unpaid.
The company stated that it appreciates the capital and support that was extended to them during this time. It is a simple notion that these convertible debt financiers resulted in the downward spiral and considerable dilution over the preceding six months, and leading in market capitalization.
Daniel Yazbeck, the CEO and Chairman of MyDx, reported that to say the least, the preceding few weeks have been a struggle where they are proud to inform that they fought hard and eventually reached a resolution for this convertible note liabilities problem on balance sheet.
This key measure step has ultimately given the way for the firm to focus on the upcoming phase of its operations where it will pull its crowdsourced data to advance unique feeling and disease specific offering formulations for the cannabis industry. Just as important, it places the firm in an attractive position to get growth capital at a pre-determined price which they consider will reveal the true value of the firm.
Yazbeck reported that with nearly $9 million having been put to date and an assessment of peer firms that are trading at surprising valuations, they consider their investors are well positioned for the incredible growth in market. As of today, the due principle balance owed by MyDx as per its convertible promissory notes stands at $35,000, and is eligible for payoff prior to May 13, 2017. These notes are not eligible for being converted into equity.