Toronto, Ontario--(Newsfile Corp. - June 29, 2023) - Tenet Fintech Group Inc. (CSE: PKK) (OTC Pink: PKKFF) ("Tenet" or the "Company"), an innovative analytics service provider and operator of the Cubeler® Business Hub, today provided the corporate update below following the Company's annual meeting of shareholders held on June 27, 2023 (the "Meeting"). This press release is being furnished at the request of the Canadian Securities Exchange (the "CSE").
Directors, Officers and Legal Counsel
Following the results of the annual meeting of shareholders, the Tenet's Board of Directors is now comprised of Johnson Joseph, Liang Qiu and Mayco Quiroz. The Company's senior officers are Johnson Joseph, who was reinstated in the role of President & CEO of the Company, and Liang Qiu who continues to serve as the CEO of the Company's Chinese Operations. Tenet expects to reach agreements imminently for the reinstatements of Jean Landreville as Chief Financial Officer, Claude Theroux as Chief Technology Officer and Dr. Luis Rocha as Chief Analytics Officer. Further information in this regard will be provided when arrangements are finalized. The Company's Chief Legal Officer, Wendy Kennish, tendered her resignation on June 28, 2023 and Tenet has retained Wildeboer Dellelce LLP (www.wildlaw.ca) as counsel for all corporate and securities-related matters going forward.
Given the current state of affairs at the Company, Tenet will first focus its short-term attention on bringing stability to the Company through dialogue with creditors, suppliers, employees, regulators, capital market professionals who have historically supported the Company and other stakeholders. The Company's management is committed to ensuring that the Company's stakeholders have a good understanding of the Company's plans and objectives as Tenet resumes its focus on the development of the data and analytics aspects of the Company. The Company expects that this will involve allocating resources to completing the remaining pillars of the Business Hub in Canada to permit the Company to access a more diversified pool of SME data and position it to launch its first data-driven products in Canada later this year.
Better disclosure and visibility into Tenet's operations, particularly in North America, will also be a priority in the short-term. That will come in the form of news releases, social media activity and with the upcoming launch of the Company's Tenoris3 subsidiary's website. The Company expects that the launch of the Tenoris3 website will provide investors and the Company's stakeholders with a more detailed comprehension of the Company's planned data-driven and analytics product offering. The website is expected to include conceptual descriptions as well as demos of upcoming products as they are being developed.
Capital Markets Strategy
As a venture-stage company and in order to achieve its objectives, Tenet must ensure it has an effective capital market strategy that permits it to raise capital while still protecting its shareholders' equity as it uses any capital raised to build value for shareholders. To that end, following the Meeting, the Company does not intend to proceed with closing additional rounds of the $3M financing announced on June 1, 2023, of which a total of approximately $800,000 was closed. Instead, Tenet plans to proceed with a series of financings over the next three months for gross proceeds of up to $20M, in which it is expected that some directors and officers of the Company will participate. The Company proposes to close the first round of such a financing on or prior to July 31, 2023, and anticipates that the financing would be priced at the greater of $0.25 per share or unit and the lowest price permitted by the CSE to reflect then-current market conditions. If completed, this would permit the Company to meet its immediate cash needs, invest in its Canadian operations and partially help sustain the growth of its Chinese operations until later rounds of the financing are closed. There can be no assurances that any such financing(s) will proceed or be completed, either on the terms proposed or at all. All financings are subject to the prior approval of the CSE and must be completed in accordance with applicable securities laws. The Company is in discussions with prospective investors to finalize the terms and complete the first round of the proposed financing, but at this time, the Company does not have binding commitments with any investors in respect of any such financing(s).
About Tenet Fintech Group Inc.:
Tenet Fintech Group Inc. is the parent company of a group of innovative financial technology (Fintech) and artificial intelligence (AI) companies. All references to Tenet in this news release, unless explicitly specified, includes Tenet and all its subsidiaries. Tenet's subsidiaries provide various analytics and AI-based services to businesses and financial institutions through the Cubeler® Business Hub, a global ecosystem where analytics and AI are used to create opportunities and facilitate B2B transactions among its members. Please visit our website at: https://www.tenetfintech.com/.
For more information, please contact:
Tenet Fintech Group Inc.
Christina Boyd, Director, Investor Relations and Communications
Johnson Joseph, Chief Executive Officer
514-340-7775 ext.: 501
CHF Capital Markets
Cathy Hume, CEO
416-868-1079 ext.: 251
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Certain statements included in this presentation constitute "forward-looking statements" under Canadian securities law, including statements in respect of future hires of personnel, future financings, the future operations and investments of and in the Company and any statements based on management's assessment and assumptions and publicly available information with respect to the Company. By their nature, forward-looking statements involve risks, uncertainties and assumptions. The Company cautions that its plans and assumptions may not materialize and that current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. Forward-looking statements may be identified by the use of terminology such as "believes," "expects," "anticipates," "assumes," "outlook," "plans," "targets", or other similar words. Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and other factors which may cause actual results, performance or achievements of the Company to be materially different from the outlook or any future results, performance or achievements implied by such statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements. Important risk factors that could affect the forward- looking statements in this news release include, but are not limited to, holding company with significant operations in China; general economic and business conditions, including factors impacting the Company's business in China such as pandemics (ex.: COVID-19); legislative and/or regulatory developments; global financial conditions, repatriation of profits or transfer of funds from China to Canada, operations in foreign jurisdictions and possible exposure to corruption, bribery or civil unrest; actions by regulators; uncertainties of investigations, proceedings or other types of claims and litigation; timing and completion of capital programs; liquidity and capital resources, negative operating cash flow and additional funding, dilution from further financing; financial performance and timing of capital; and other risks detailed from time to time in reports filed by the Company with securities regulators in Canada, the United States or other jurisdictions. We refer potential investors to the "Risks and Uncertainties" section of the Company's MD&A. The reader is cautioned to consider these and other risks and uncertainties carefully and not to put undue reliance on forward-looking information.
Forward-looking statements reflect information as of the date on which they are made. The Company assumes no obligation to update or revise forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities laws. In the event the Company does update any forward-looking statement, no inference should be made that the Company will make additional updates with respect to that statement, related matters, or any other forward-looking statement.