Vancouver, BC / TheNewswire / May 17, 2019 - Eight Solutions Inc. (TSXV:ES) ("Eight Solutions" or the "Company") announces that the Company's ongoing working capital deficiency has resulted in its failure to meet its May 17, 2019 payroll obligations for all 39 of the Company's employees which causes material uncertainty about the Company's ability to continue as a going concern During the period from January 1, 2018 to December 31, 2018, the Company had a net loss of $5,347,441. As at December 31, 2018 the Company had a deficit of $34,939,067 and a working capital deficiency of $5,893,409.
The Company continues to operate, and management is aggressively exploring various options to resolve the working capital deficiency including restructuring its operations, completing an equity or debt financing, or the sale of the Company's assets. To meet such funding requirements, the Company may be required to undertake additional equity financing, which would be dilutive to shareholders. Debt financing, if available, may also involve restrictions on financing and operating activities. There is no assurance that such additional financing will be available on terms acceptable to the Company or at all. If the Company is unable to obtain additional financing as needed, it may be required to seek creditor protection, reduce the scope of its operations or anticipated expansion and pursue only those development plans that can be funded through cash flows generated from its existing operations. No assurances can be given that the Company will be able to raise the additional funding that may be required for such activities.
About Eight Solutions
Eight Solutions is a technology company bringing fast value to data through achievable AI. With a team of Media and Entertainment industry veterans, Eight Solutions brings together the 'fast to excitement' and 'ease of use' philosophies learned from years of producing the world's biggest video games and the experience of handling immense volumes of VFX data while working on Hollywood blockbuster movies. The Eight Solutions product portfolio includes Jetstream, a secure high speed file transfer application enabling users to focus on their own work product rather than how it is delivered; and Cumul8, an AI-driven live analytics platform providing real-time and predictive insights that help businesses harness and realize operational value from their data. For more information, visit eightsolutions.com.
On Behalf of the Board of Directors
(signed) "Rory Armes"
Chief Executive Officer, President and Director
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
Except for statements of historical fact, this news release contains certain forward-looking statements within the meaning of applicable securities law. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" occur. Although Eight believes that the expectations reflected in the forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. Such forward-looking statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information, whether as a result of new information, future events or otherwise.
For more Information, please contact:
Suite 100, 138 East 7th Avenue
Vancouver, British Columbia, V5T 1M6
Phone: (604) 669-8885
Fax: (604) 669-8855