08 Dec Certive Announces Updates and New Offering
FOR IMMEDIATE RELEASE
December 8, 2020
Certive Announces Updates and New Offering
Scottsdale Arizona and Vancouver British Columbia – Certive Solutions Inc. (OTCQB:CTVEF CSE:CBP) (“Certive” or the “Company”) is pleased to announce the following:
Certive’s First Fiscal Quarter Results (Unaudited) – Compared to the prior year, Certive’s revenues increased from $329,786 to $422,897 for the quarters ended August 31, 2019 and 2020, respectively, which is an increase of 28% year over year. Certive also began onboarding multiple new clients during the quarter and positioned itself for continuing growth in the remainder of its fiscal year. The net loss for Certive’s Omega division decreased from $176,999 to $37,313 for the quarters ended August 31, 2019 and 2020, respectively, which is a decrease of 79% year over year demonstrating that Certive’s Omega division can achieve economies of scale as it grows. Certive’s consolidated net loss decreased from $786,312 to $530,564 for the quarters ended August 31, 2019 and 2020, respectively, which is a decrease of 33% year over year representing the Company’s continuing progress towards profitability.
PPP Loan – As previously disclosed on April 22, 2020, the Company’s wholly-owned U.S. subsidiary, Certive Health Inc. (“CHI”), received a $368,600 loan through Western Alliance Bank pursuant to the Small Business Administration (“SBA”) Paycheck Protection Program under Division A, Title I of the CARES Act, which was enacted March 27, 2020 (the “PPP Loan”). The PPP Loan proceeds were received by CHI on April 22, 2020. The terms of the PPP Loan included the following: (i) a maturity date of two years; (ii) interest at 1.00% per annum; (iii) no early prepayment penalties; and (iv) amounts used by CHI for qualifying U.S. employee payroll costs during a 60-day period prior to June 22, 2020 might be forgiven by the SBA upon their approval of a CHI application for forgiveness filed with proper documentation. The Company is pleased to report that it has completed its application to the SBA to receive complete forgiveness of the $368,600 PPP Loan. The Company believes the entirety of the funds received were used for qualifying expenses as intended. This loan forgiveness has been approved by Western Alliance Bank and the Company anticipates approval by the SBA.
New Offering – Certive’s Board of Directors approved a new non-brokered Private Placement that will be secured by the revenue stream attributed to a previously announced new client in Virginia. The Offering consists of US$800,000 of 4-year 10% Convertible Promissory Notes that shall be repaid from 25% of the net cash collections from that client and three other clients that shall be designated before the end of Certive’s fiscal year ending May 31, 2021. These Notes also have a right of conversion into common shares of Certive at US$0.14/share for the term of the Note. The Company is also very pleased to report that the CEO and CFO of Certive, Tom Marreel and Tim Hyland, have and will continue to participate in this new Offering as continuing validation and confidence in Certive’s strategic plan for growth and alignment with all of Certive’s stakeholders.
Certive Health Inc. | 480-922-5327 | 8149 N. 87th Place | Scottsdale AZ | 85258
For more information regarding this announcement, please visit our website at https://certivehealth.com or contact Certive directly at (480) 922-5327.
Investor Relations, Certive Solutions Inc. (480) 228-5881
About Certive Solutions Inc.
Certive Solutions Inc. (Scottsdale, Arizona) is currently 100% focused on the operations and value proposition of Certive Health Inc. and its subsidiaries. With identical Leadership, Board of Directors, Advisory Council and Vision, Certive Solutions is strategically positioned as a public company. All are investors in the company – all have significant networks. Their collective experience, expertise, and relationships is the people-equity upon which the company was founded. Certive Health’s vision is making the $3.7 trillion healthcare market better by applying its People-Equity and Capital to solutions in the healthcare communities it serves. Certive Health’s revenue cycle services and solutions help hospitals work through the complexity of the reimbursement process and improve financial and quality performance.
Statements contained in this report that are not statements of historical fact are intended to be and are hereby identified as “forward-looking statements” for purposes of the safe harbor provided by the Reform Act. Generally, forward-looking statements include expressed expectations of future events and the assumptions on which the expressed expectations are based. All forward looking statements are inherently uncertain as they are based on various expectations and assumptions concerning future events and they are subject to numerous known and unknown risks and uncertainties which could cause actual events or results to differ materially from those projected. Due to those uncertainties and risks, the investment community is urged not to place undue reliance on written or oral forward-looking statements of Certive Solutions Inc. The Company undertakes no obligation to update or revise this Safe Harbor Compliance Statement for Forward-Looking Statements (the “Safe Harbor Statement”) to reflect future developments. In addition, Certive undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time.