Lexington Biosciences Provides Update on Financial Situation
VANCOUVER, British Columbia, April 02, 2019 (GLOBE NEWSWIRE) -- Lexington Biosciences, Inc. (CSE: LNB) (OTCQB: LXGTF) (the “Company” or “Lexington”) announced on February 14, 2019 that it had been unable to secure the necessary financing to advance the development of its HeartSentry technology. The Company is currently considering its options, which may include selling the HeartSentry technology. The Company currently has no cash on hand and has negative working capital of approximately $700,000.
The Company previously received advances in October 2018 for the now cancelled private placement of approximately $330,000 including from certain directors, officers and arm’s length parties to the Company. The Company is now negotiating the terms of conversion of these advances with the arm’s length creditor.
The Company is also negotiating a credit facility with an arm’s length party to the Company in order to secure funds required to maintain its listing on the CSE.
As part of these negotiations the Company has agreed to consolidate its shares on a one new share for every ten old shares.
The Company continues to seek alternative sources of capital to continue to advance the HeartSentry Technology and administrative costs but has not as of this date been able to secure such capital.
On Behalf of the Board,
Eric Willis CEO & Director
CAUTIONARY DISCLAIMER STATEMENT: The Canadian Securities Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
Cautionary Note Regarding Forward-Looking StatementsThis news release contains forward-looking statements relating to the potential sale of the HeartSentry technology and other statements that are not historical facts. Forward-looking statements are often identified by terms such as “will”, “may”, “should”, “anticipate”, “expects” and similar expressions. All statements other than statements of historical fact, included in this release are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include those relating to the ability to complete the sale and other risks detailed from time to time in the filings made by the Company with securities regulations.
The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will update or revise publicly any of the included forward- looking statements as expressly required by applicable law.