Thred Limited (Thred) hereby advises that it has acquired former subsidiary AR Technologies
Pty Ltd (ARTech), the owner of the Sweep Business.
Background
On 25 March 2019 the Company completed a transaction pursuant to which it:
(a) sold 80% of ARTech to Project Savvy Pty Ltd; and
(b) sold the Sweep Business to ARTech for $700,000, payable in quarterly instalments
comprised of 10% of ARTech’s quarterly trading revenues (if any) until paid in full
(Business Sale).
On 29 July 2019 Thred entered into a loan facility agreement and general security deed with
ARTech whereby Thred agreed to lend ARTech $105,000 at 10% interest per annum,
repayable 90 days after the first drawdown, to assist ARTech in the development and
commercialisation of the Sweep Business (Loan Facility). On 19 February 2020 Thred
advanced a further $10,000 to ARTech under the Loan Facility.
Update
Thred has not received any payment for the Business Sale or any repayments under the
Loan Facility. In order to avoid a formal enforcement process under the general security
deed, Thred offered to purchase the 80% of ARTech that it did not own for $1 in aggregate.
The unrelated ARTech shareholders have accepted that offer.
This matter is now complete and the 100% ownership of ARTech (and the Sweep business)
has been transferred back to Thred. The Thred directors will now review the Sweep
Business with a view to identifying potential purchasers.
THD Price at posting:
0.2¢ Sentiment: None Disclosure: Held
