2020 BRN Discussion, page-758

Food for thought in regards to a CR.

Cleansing Notice
26/9/19




I'm sure most remember the last trading halt. Something went awry.

Trading Halt
15/1/20

BrainChip Provides Market Update
16/1/20

Sydney – 16 January 2020:BrainChip Holdings Ltd (ASX:BRN),today updates the market following a trading halt on 15 January 2020. The Company will receiveAU$520,000 in gross proceeds in exchange for the release of 10,000,000 Collateral Shares (previously issued in accordance with the Convertible Note Agreement announced to the ASX on 26 June 2019. Proceeds will be received by the Company within two business days. No new shares are issued as a result of this transaction.The balance of debt remaining on the note is US$990,000 and the remaining collateral shares to be returned to the company or otherwise dispositioned is 20,000,000.
This transaction replaces the placement previously considered by the Company in it’s request for a trading halt on 15 January 2020.



So am I reading this correctly, BRN still owe CST (change from) USD $1M, although CST have possibly reduced that by converting more shares this month. If BRN wish to raise funds by any means they have to repay any outstanding amount to CST first (and give 20 business days notice) or hand over a truck load of cash.