TORONTO, July 16, 2012 /CNW/ - xRM Global Inc. ("xRM Global" or the "Company") announced today that it has increased the loan amount announced December 27, 2011 to a total of $475,000 from the existing lender and has appointed a new CFO to the company. The Company also provides an update to the previous update dated December 27, 2011 to the Company's restructuring plan previously announced on December 9, 2010 (the "Plan").
Subsequent to the previous Plan update, temporary cease trade orders were issued against the Company by the Ontario Securities Commission, Alberta Securities Commission and British Columbia Securities Commission (the "Cease Trade Orders") due to the fact that the Company failed to file annual audited financial statements, annual management's discussion and analysis, and certification of annual filings for the year ended December 31, 2010 and December 31, 2011 and interim unaudited financial statements, interim management's discussion and analysis, and certification of interim filings for the interim periods ended March 31, 2011, June 30, 2011, September 30, 2011, December 31, 2011 and March 31, 2012, (the "Required Filings"). Pursuant to the Cease Trade Orders, all trading in or purchasing of securities of the Company has been ceased until the Cease Trade Orders are revoked or varied. The Cease Trade Orders remain in effect as of the date hereof.
It is management's intent to maintain the Company in its current status until the Company is in good standing and the Company is fully operational, and the Company is working towards the preparation of the Required Filings.
In order to partially fund the preparation of the Required Filings, the Company has increased the loan amount from USD$225,000 to $475,000 with Global Innovation Fund, Ltd. (the "Loan"). The Loan bears interest at the rate of 12% annually, payable at maturity. The Loan's maturity date has been extended to December 23, 2012. The proceeds of the Loan, while allowing the Company to initiate the Plan, are insufficient to complete the Plan. As such, management intends to continue in its efforts to obtain additional funding for the Company.
In connection with the Loan, Mark Olson will assume the role of interim Chief Financial Officer. Mr. Olson is a CA with private and public company accounting and audit experience. Mr. Olson has direct reporting experience for public technology companies listed on both the TSX and NASDAQ. Mr. Jeff Patterson has resigned as director of the Company. As a result, subject to receipt of all necessary approvals, the current board of directors of the Company is Gary Bartholomew (Chairman), William Beynon (Director) and Trevor Michael (Director).
About xRM Global Inc.
xRM Global is a Social Network for Financial Intelligence on publically listed stock in the USA and Canada. Wealth Razor empowers individuals and enterprises with on-demand, financial information management solutions that monitor business television, financial data and the financial web to extract intelligence for wealth managers relevant to their clients' needs. xRM's unique valuation model combines traditional valuation analysis based on historical financial data with crowd and media sentiment to provide a dynamic view of the stocks held within the individuals portfolio. Wealth managers use this intelligence to enhance their client relationships with more frequent touch points, and to share unique, relevant insights derived from the Wealth Razor with their clients.
Additional information about the Company can be found at www.sedar.com.
This news release includes certain forward-looking statements within the meaning of Canadian securities laws. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed in such forward-looking statements. Forward-looking statements in this news release include, but are not limited to, economic performance and future plans and objectives of xRM Global. Any number of important factors could cause actual results to differ materially from these forward-looking statements. Although xRM Global believes that the assumptions and factors used in making these forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that any such events will occur in the disclosed timeframes or at all. xRM Global disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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