Pegasus Mercantile to settle $122,000 debt with shares

Executive Summary

• Pegasus Mercantile Inc. agreed to settle $122,000 of accounts payable and loans by issuing 2.44 million restricted common shares at a deemed price of $0.05 per share.
• The settlement reduces the company’s outstanding liabilities and is expected to improve its balance‑sheet position ahead of filing its annual statement.
• Shares issued in the transaction are subject to a statutory hold period of four months plus one day, and the deal will close within five business days pending CSE acceptance.

Key Details

• Debt Amount Settled: $122,000 total accounts payable and loans.
• Shares Issued: 2.44 million restricted common shares.
• Deemed Share Price: $0.05 per share (per CSE policies).
• Hold Period: Shares subject to a statutory hold of four months plus one day from issuance.
• Closing Timeline: Transaction expected to close five business days after the press release, contingent on CSE acceptance.
• Purpose: Reduce existing liabilities and improve financial position ahead of the company’s upcoming annual statement filing.

Notable Quotes

“The company is working diligently to file our annual statement next month. This debt settlement will help improve our financial position by reducing our existing liabilities.” – Meris Kott, Chief Executive Officer