October 5, 2020 – Vancouver, BC – Geyser Brands Inc. (TSX-V: GYSR)(“Geyser Brands” or the “Company”) is pleased to announce it has unanimously approved and entered into a loan agreement with an arm’s length private lender (the “Lender”) for a secured loan of up to $1,000,000 (the “Financing”). The Company has drawn down an initial $200,000 on the date of completion of the Financing. The Financing has a term of 12 months and bears interest at a rate of 12% on all amounts advanced. The Financing will be secured by a registered general security agreement on all of the Company’s present and after-acquired property. In connection with the Financing, no facility fee or bonus is required to be paid to the Lender.
The Company intends to use the proceeds of the Financing for working capital purposes and pursue expansion and development of its products and services.
The Company is pleased to announce that Mr. Wei Zhong has been appointed as the Interim Chief Executive Officer of the Company. Mr. Zhong replaces Andrew Harris, who will continue to serve the Company on its board of directors. Geyser Brands is grateful to Mr. Harris for his important contributions as CEO during his tenure.
Mr. Zhong brings a wealth of experience to the Company across a range of industries. In China, he has served as President of Huacheng Cement Manufacture Ltd. and CEO of ZeZhong Technology Limited, a building materials comprehensive utilization technology company. Most recently he has served as Director of hospitality-based Comfort Inn in Vancouver, and CEO of Coastal Pacific Aviation Ltd. one of the largest flight training centres on the West coast of North America. In this capacity, Mr. Zhong reorganized the management and strategy to secure financing and to expand the business into Canadian and Asian markets. Mr. Zhong is presently a director of Geyser Brands.
In addition, the Company has appointed ACM Management Inc. (“ACM”), represented by Mr. Alexander McAulay, to provide contract interim Chief Financial Officer services to the Company. ACM will be immediately tasked with working with the Company’s external auditors to finalize the preparation of the Company’s annual financial statements for the year ended March 31, 2020 and the Company’s interim financial statements for the quarter ended June 30, 2020 among other matters. The appointment remains subject to TSX Venture Exchange Approval.
Mr. McAulay, CPA, CA is an experienced public company CFO and director who has served as CFO and director of several public and private companies, including Omni Commerce Corp. (TSXV:OMNI), HIT Technologies Inc. (TSXV:HIT), Marifil Mines Ltd. (TSXV:MFM), RYU Apparel Inc. (TSXV:RYU) and Greenstar Biosciences Corp. (CSE:GSTR).
For more information, visit the company’s website at www.geyserbrands.com.
On Behalf of the Board of Directors
Director and CEO