Letter Highlights Elimination of Toxic Debt, Decreased Payables, and Plans to Use Board Member and Practicing Neurologist Dr. Jerry Smartt Jr. in a More Active Role
NEW YORK, NY / ACCESSWIRE / September 30, 2021 / Stevia Corp. (OTC PINK:STEV) ("Stevia Corp" or the "Company"), a healthcare company focused on the commercial development of products that support a healthy lifestyle announced today that it has published a letter to shareholders from the Company's Chairman and President Kenneth Maciora.
The letter is published in its entirety below:
Dear Valued Shareholder:
If you have been a shareholder of Stevia Corp. for many years, I thank you for your commitment to our business and we hope we can reward you this year. If you are a new shareholder, thank you for your decision to become a shareholder of Stevia Corp.
Effective June 1, 2021, I became the Chairman and President of Stevia Corp. I have almost 35 years of experience in the financial services industry. With that experience comes knowledge and wisdom and I hope I can bestow that knowledge and wisdom onto the fortunes of Stevia Corp. both over the short and long term.
My first priority was to restructure the debt of the company and especially the toxic debt. As part of this restructuring, it was important to preserve the equity for our shareholders. I immediately proposed to the debt holders an exchange of debt for restricted stock. After some negotiations, three debenture/note holders agreed to exchange and settle the debt for restricted stock. The principal amount of the debt was $1,500,000 plus accrued interest and the three note/debenture holders settled for 41,500,000 restricted shares. The sum of the principal and accrued interest exceeded $3 million. As a result of these debt settlements, the company has no toxic debt. For the purposes of this shareholder letter, toxic debt is debt that converts into equity typically at the option of the lender at prices which are a function of the stock price around the time period that the conversion takes place.
Our second priority was to immediately begin work on filing the necessary disclosure documents and financial statements to become current in our public company reporting obligations. Although we are not a SEC reporting company, we had certain obligations under the new disclosure rules promulgated by the United States Securities and Exchange Commission and not complying with these new rules would have severely affected the value of our company. We completed these obligations and filings within a few weeks of the SEC mandated deadline. We thank Matthew McMurdo Esq. and David Natan for their assistance to file the disclosure documents and to complete the unaudited financials.
During the past few weeks, we also had discussions to settle payables of the company. Our former Chairman and CEO George Blankenbaker has agreed to settle all payables he believed he had against the company for 1,000,000 (1 million) restricted common shares of Stevia Corp. We also have agreed in principle to completely settle two payables with vendors of the company for less than $10,000. The total amount owed was approximately $50,000.
Over the next few weeks, we believe the company will be virtually debt free with a small amount of completely manageable payables which will allow Stevia Corp. to create an explosive foundation for potential growth. As we build our company and as we generate cash flow, that cash flow and new investment can be used to grow the company instead of paying off debts and old bills. For a small company, we are in an enviable position. For a small company, it's the right and only position.
On June 1, 2021 and simultaneously with my acceptance to become an officer and director of Stevia Corp., I requested that all officers and directors of the company other than Dr. Jerry Smartt resign their positions as directors and officers of the company. As our old shareholders know, much of the company's former focus was its operations in Asia. Although Mr. Blankenbaker and Mr. Ong worked tirelessly to build the company, the strategy of producing and selling products in Asia was not a prudent business strategy. For the future of this public company, the focus will be in either acquiring a successful business with exponential upside or to grow successfully from within. Our preference is to capitalize on the ample opportunities within the United States.
During the management transition, I had an excellent discussion with Dr. Jerry Smartt Jr. who I first met approximately 6 years ago. Dr. Smartt is a respected neurologist in America's heartland with an impeccable reputation as a practicing and successful physician in Indiana. Dr. Smartt received his Doctorate of Medicine from Indiana University. He completed his neurology residency at Indiana University School of Medicine. Dr. Smartt is Board Certified in Neurology. He is a member of the American Medical Association and the American Academy of Neurology. Dr. Smartt is also an active volunteer with the American Heart Association.
We are announcing for the first time that Dr. Smartt has given Stevia complete approval to use his likeness to brand products in the future. As we review merger and acquisition opportunities, we are also assessing the potential to grow from within using Dr. Smartt's story and reputation as the face behind some of our products in the future. For an accretive acquisition or merger candidate, Dr. Smartt is a valuable asset to the company, and I can't thank him enough for his support.
Besides being virtually debt free, we also are in an extraordinary position to merge, acquire or grow from within. All three options will be weighed. Of course, the ultimate decision will strongly consider what is the best decision for shareholders. That remains our top priority.
Our short-term 30-day goals are as follows:
- Complete all remaining note and debenture issues by seeking a legal opinion to write off all remaining notes and debentures.
- Reduce all payables amounts to less than $40,000.
- Complete small private placement for working capital.
- Continue to review merger and acquisition opportunities.
- Begin search for additions to Advisory Panel and Board of Directors.
Over the next 90 days or much sooner, we fully intend to be able to provide clarity to our shareholders on whether we will grow from within or whether we will acquire or merge with a successful, revenue generating business. We are assessing opportunities on a daily basis. Since we are averse to reverse splitting the stock anywhere near the current stock price levels, we try to communicate with any potential suitors that we are averse to reverse stock splits unless any such reverse stock split would clearly be done to increase shareholder value (for example, up listing to a more senior exchange).
Since I took over the company, we have revived the Twitter Account. We will reserve the right to communicate to our shareholders through Twitter and we encourage all shareholders to follow us on Twitter @steviacorp.
In closing, we appreciate the loyalty and enthusiasm being displayed by our shareholders. We hope to deliver more good news in the very near future.
Thank you and respectfully,
/s/ Kenneth Maciora
Kenneth Maciora
Chairman and President
Stevia Corp.
About Stevia Corp.
Stevia Corp. is a farm management company and healthcare company focused on developing highly nutritional, high value products through proprietary plant breeding, excellent agricultural methodologies and innovative post-harvest techniques. Stevia Corp was founded on the principal of implementing socially responsible, sustainable, quality agribusiness solutions to maximize the long-term efficient production of nutritional crops.
Notice Regarding Forward-Looking Statements
This news release contains "forward-looking statements" as that term is defined in Section 27A of the United States Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Statements in this press release, which are not purely historical, are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects and development stage companies. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate.
Contact:
Kenneth Maciora
President
Stevia Corp.
(917) 670-9541
[email protected]
SOURCE: Stevia Corp.