Boatim Inc. announces restructuring of $1m+ of its debt into convertible notes

Rhea-AI Summary

BOATIM INC. (OTCQB: BTIM) has successfully restructured $1,060,000 of its debt into convertible promissory notes, strengthening its financial position. The notes are unsecured, non-interest bearing, and convertible at 70% of the current stock price. CEO Wolfgang Tippner highlighted that this move will allow reinvestment into business scaling, notably expanding the B2B sales team and enhancing product offerings. The company aims to enhance connectivity within the boating community, leveraging its online marketplace established for boat sales.

Positive

• Restructured $1,060,000 of debt into convertible promissory notes, enhancing financial stability.
• Unsecured, non-interest-bearing notes with a favorable conversion option for investors.
• Projected reinvestment of revenue into scaling operations and product development.

Negative

• None.

MIAMI, Sept 9, 2020 /PRNewswire/ -- BOATIM INC. (OTCQB: BTIM), a global marketplace and online community for buying and selling boats and yachts, announces today that it completed the restructuring of a major part of its debt into convertible promissory notes. On July 21 and August 28, 2020, BOATIM INC. confirmed the assignment of debt from CAYO VENTURES GMBH (the "Assignor") to several parties (the "Assignees"). The Company issued new convertible promissory notes in the total amount of US$ 1,060,000.00. The notes are unsecured, non-interest bearing and have a 6 months term. At the election of the holders the notes may be converted into common shares in the Company at no less than 70% of the then-current trading price of the Company's stock.

"This restructuring of a major portion of our Company´s early stage development debt is a major step towards strengthening our balance sheet." says Wolfgang Tippner, BOATIM´s CEO, "From discussions with those new note holders - and given our latest momentum on product development and market activity - we expect that their preferred choice will be to convert at the maturity date."

Successfully converting debt into equity this way would allow BOATIM INC. to re-invest its revenue and future cash flows entirely into scaling the business, mainly to expand our Barcelona B2B sales team, speed up additional product rollouts, and realize the next levels on our Smart Connected Inventory product suite and APIs. By making it even easier for new boat dealers to come aboard, and continuing to expand the offering to buyers, we are seamlessly connecting our sellers with the entire boating community.

About Boatim Inc.

Boatim Inc. (OTCQB: BTIM) is a globally operating online marketplace and special interest social network for both the boating industry and boat users.

Boatim was founded in 2014 and now employs 21 people in Miami (USA) and Barcelona (Spain). The technology startup provides industry-specific software, aimed at facilitating the process of buying and selling boats online.

On boatim.com the boating industry can sell and promote products and connect with a fast-growing potential customer base, while boat users can explore and buy boats, connecting with like-minded users and brands. The platform can be accessed through mobile devices and desktop, generating revenues through listing placements and subscription plans, as well as on-platform ads. Given the scalability potential of the marketplace business model, further revenue streams are planned to come online soon.

Since August 2019 the privately funded startup has become a publicly listed entity, trading at the OTCQB Venture Market under the trading symbol BTIM.

https://boatim.com/investor-relations

www.otcmarkets.com/stock/BTIM

Forward Looking Statements

This press release contains forward-looking statements regarding our future business expectations, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors including: our ability to retain or increase users and engagement levels; our reliance on advertising revenue; our dependency on mobile operating systems, networks, and standards that we do not control; risks associated with new product development and their introduction as well as other new business initiatives; our emphasis on user growth and engagement and the user experience over short-term financial results; competition; litigation; privacy and regulatory concerns; risks associated with acquisitions; security breaches; and our ability to manage growth and geographically-dispersed operations. These and other potential risks and uncertainties that could cause actual results to differ from the results predicted are more fully detailed under the caption "Risk Factors" in our Annual Report on Form 10-K filed with the SEC on July 16, 2020, which is available via the SEC website at www.sec.gov. Additional information has also been set forth in our Annual Report on Form 10-K for the year ended August 31, 2019. In addition, please note that the date of this press release is June 15, 2020, and any forward-looking statements contained herein are based on assumptions that we believe to be reasonable as of this date. We undertake no obligation to update these statements as a result of new information or future events.

View original content:http://www.prnewswire.com/news-releases/boatim-inc-announces-restructuring-of-1m-of-its-debt-into-convertible-notes-301126445.html

SOURCE Boatim Inc.

FAQ

What is the recent debt restructuring by Boatim Inc. (BTIM)?

Boatim Inc. restructured $1,060,000 of its debt into unsecured, non-interest-bearing convertible promissory notes.

What are the terms of the convertible promissory notes issued by Boatim (BTIM)?

The notes have a 6-month term and can be converted into common shares at no less than 70% of the current stock price.

How will the debt restructuring impact Boatim Inc. (BTIM)?

The restructuring is expected to strengthen Boatim's balance sheet and allow for reinvestment into business growth and product development.