Pacific Therapeutics Signs LOI For Sale of Fibrosis and Erectile Dysfunction Therapeutics Technologies

Pacific Therapeutics Ltd. (CSE:PT,OTCMKTS:PCFTF) announced that it has signed a letter of intent with Pilotage South Corp. to sell its technology assets for the development of therapies for fibrosis and erectile dysfunction.

As quoted in the press release:

In return for the assets Pilotage or its assignee will issue to the Company a note for 15,000,000 common shares of Pilotage or its assignee. In addition on the sale of the Company’s therapeutic assets to a third party, the Company will receive 6% of the value of that transaction. Between the closing of the asset sale to Pilotage and the issuance of the 15,000,000 common shares, Pilotage will pay to the Company an annual maintenance fee of $50,000. Pilotage or assignee will also assume up to $500,000 of debt owed to officers and directors of the company clearing these liabilities from the Company’s balance sheet.

The note has a 5 year term. If the shares are not issued to the Company within 3 years then the Company may trigger the exchange of the shares for the note. If at the end of the term the shares have not been issued then Pilotage must return the assets to the Company.

Click here to read the full Pacific Therapeutics Ltd. (CSE:PT,OTCMKTS:PCFTF) press release.