This transaction eliminates the Company's secured debt and redeems all its Series C Preferred Stock while positioning the Company for new growth opportunities
SAN ANTONIO, TX and POMPANO BEACH, FL / ACCESS Newswire / February 4, 2025 / C-Bond Systems (the "Company" or "C-Bond") (OTC PINK:CBNT) today announced that it has completed a debt forgiveness, equity redemption, and strict foreclosure transaction with its secured creditors valued at more than $3 million.
Per the terms of the agreement, over $2 million of senior debt was forgiven and approximately $1 million of equity, which included Series C Preferred shares, common shares, and warrants, was redeemed and returned to the Company.
As consideration, the Company agreed to a foreclosure on the Company's 80% ownership of its Patriot Glass Solutions, LLC ("PGS") subsidiary, its related patents, and other assets. The Company will continue to be a sales representative for PGS products and will continue to be involved in the manufacturing of C-Bond products. The Company is also pursuing new business opportunities.
"We are pleased that we are able to substantially strengthen our balance sheet through this significant debt elimination and equity redemption agreement. Although we would have preferred to retain our intellectual property, the net result positions us for continued success with PGS products and new opportunities that the Company is pursuing."
Additional details of the transaction are available in the Company's Form 8-K, which was filed with the SEC today.
About C-Bond
C-Bond Systems, Inc. (OTC: CBNT) markets the patented C-Bond technology, which is independently proven to strengthen glass in architectural applications. For more information, please visit our website: www.cbondsystems.com.
Forward-Looking Statements
Statements in this press release about our future expectations, including the likelihood that we will continue to be a sales representative for PGS products and will continue to be involved in the manufacturing of C-Bond products; the likelihood that the net result positions us for continued success with PGS products and new opportunities that the Company is pursuing; constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995. Such forward-looking statements involve risks and uncertainties and are subject to change at any time, and our actual results could differ materially from expected results. These risks and uncertainties include, without limitation, the Company's ability to successfully commercialize its products; the Company's and its customers' ability to source materials; construction delays; film delays; the Company's ability to raise capital; regulatory risks; as well as other risks. Additional information about these and other factors may be described in the Company's filings with the Securities and Exchange Commission ("SEC") including its Form 10-K filed on April 1, 2024, its Forms 10-Q filed on November 14, 2024, August 19, 2024, and May 14, 2024, and in future filings with the SEC. The Company undertakes no obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this statement or to reflect the occurrence of unanticipated events, except as required by law.
Contact:
Allison Tomek
C-Bond Systems
atomek@cbondsystems.com
SOURCE: C-Bond Systems Inc
