Certive Solutions Inc.
CNSX : CBP
FRANKFURT : 5CE
OTCQB : CTVEF

Certive Solutions Inc.

October 16, 2015 09:00 ET

Certive Solutions Inc. Announces Closure of US$3,483,905 Private Placement of Units

VANCOUVER, BRITISH COLUMBIA and SCOTTSDALE, ARIZONA--(Marketwired - Oct. 16, 2015) - Certive Solutions Inc. (CSE:CBP)(FRANKFURT:5CE)(OTCQB:CTVEF) ("Certive" or the "Company"), announces that effective October 15, 2015, the Company has closed the subscription books on its previously announced private placement for total gross proceeds of US$3,483,905, and the issuance of 11,613,017 units at a price of US$0.30 per unit. Each unit consists of one common share and one common share purchase warrant. The warrants are exercisable for two years commencing from the closing date, which is expected to take place next week, at a price of US$0.35 per share. The Company has and will continue to utilize the net proceeds for general working capital purposes and for investment in technologies and workflow tools to support its revenue integrity business activities.

In connection with the private placement, the Company has agreed to pay a finder's fee to Four Peak Ventures, LLC totaling US$270,000, which at the election of the finder, is payable in units comprised of 900,000 shares and a warrant to purchase 900,000 shares at a price of $.35 per share.

Of particular note is the fact that Omega Technologies Inc., the Company's most recent acquisition, subscribed for a total of $400,000 units in the private placement. In addition, all members of the Company's Advisory Council participated in the private placement, each with a subscription of US$100,000.

The closure of this financing is distinct and separate from the US$3,500,000 acquisition-based funding announced on September 30, 2015, the proceeds of which will be secured on an acquisition-by-acquisition basis and will be largely provided in the form of convertible debt and approved in advance by the Company's Acquisition Committee.

Van Potter, CEO, and Brian Cameron, CFO of the Company, jointly commented "we welcome this new group of shareholders to the Company, noting that the price at which the Units were sold significantly exceeds the current market value of Certive, representing the inherent value of the Company to highly sophisticated investors, many of whom are long-time participants in the U.S. healthcare industry. We intend to drive our growth through integration of our business units, cross-selling among them, and by completing accretive acquisitions, all of which reflect our commitment to scale and improved internal operational efficiencies, thus providing better support to our growing base of customers."

For more information, please visit our website at www.certive.com, or contact Certive directly at 480-922-5327.

About Certive Solutions Inc.

Certive Solutions Inc. (Scottsdale, Arizona) provides revenue cycle management solutions to the U.S. healthcare market. Certive's claim audit and recovery services, billing services, and software solutions help providers work with payers to efficiently manage the reimbursement process and improve financial performance. Certive's highly skilled and experienced management team, combined with proprietary workflow and analytics, audit and identify, and bill and collect, underpayments in accordance with contractual obligations between the public or commercial insurance carrier and the designated provider. The healthcare market is changing. Certive works with clients to provide efficient and effective solutions aligned with reform initiatives to improve healthcare and reduce costs.

FORWARD-LOOKING AND OTHER STATEMENTS

This press release contains forward-looking statements. These statements relate to future events or future performance and reflect our expectations and assumptions regarding our growth, results of operations, performance and business prospects and opportunities. Such forward-looking statements reflect our current beliefs and are based on information currently available to us. In some cases, forward-looking statements can be identified by terminology such as "may", "would", "could", "will", "should", "expect", "plan", "intend", "anticipate", "believe", "estimate", "predict", "potential", "continue" or the negative of these terms or other similar expressions concerning matters that are not historical facts.

A number of factors could cause actual events, performance or results, including those in respect of the foregoing items, to differ materially from the events, performance and results discussed in the forward looking statements.

Factors that could cause actual events, performance or results to differ materially from those set forth in the forward-looking statements include, but are not limited to:

  • the effect of continuing operating losses on our ability to obtain, on satisfactory terms, or at all, the capital required to remain a going concern;
  • the ability to obtain sufficient and suitable financing to support operations, development and commercialization of our services;
  • the risks associated with the development of our technology;
  • the risks associated with the increase in operating costs from additional development costs and increased staff;
  • the timing and nature of feedback from customers; and
  • our ability to successfully compete in our targeted markets.

Although the forward-looking statements contained in this press release are based on what we consider to be reasonable assumptions based on information currently available to us, there can be no assurance that actual events, performance or results will be consistent with these forward-looking statements, and our assumptions may prove to be incorrect. These forward-looking statements are made as of the date of this press release. Forward-looking statements made in this press release are made as of the date of the original document and have not been updated by us except as expressly provided for in this press release. As required by securities legislation applicable to reporting issuers, it is our policy to update, from time to time, forward-looking information in our periodic management discussions and analyses and provide updates on our activities to the public through the filing and dissemination of news releases and material change reports.

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