SCOTTSDALE, ARIZONA--(Marketwired - Feb. 17, 2014) - The Board of Directors of Certive Solutions Inc. (CSE:CBP) ("Certive" or the "Company") is pleased to announce that effective February 14, 2014, the Company has successfully closed its previously announced C$2,100,000 unit private placement and C$400,000 convertible debenture private placement.
The Company has sold 21,000,000 units in a non-brokered private placement, each unit consisting of one common share and one-half of one common share purchase warrant. One whole warrant entitles the holder to purchase one additional common share at $0.15 per share for a period of two years commencing February 14, 2014. The Company has raised a total of C$2,100,000 from the unit private placement which has and will be utilized to expand its claims denial management business within the U.S. hospital market.
In addition, the Company is pleased to announce that it has closed the previously announced C$400,000 non-brokered private placement of convertible debentures. Each debenture is convertible into common shares of the Company at a price of C$0.15 per share for a term of five years, resulting in the issuance of a further 2,666,667 common shares when fully converted. The debenture will bear simple interest calculated at the rate of 5% per annum and may be paid in shares at the Company's option. It is an unsecured debenture and conversion is at the option of the holder.
The greenshoe option associated with the Unit private placement totals 15% of the amount raised in the private placement for an aggregate value of C$315,000 and will be held open until the close of business on February 25, 2014.
With the closure of the Unit and Debenture financings the Company is now positioned to become a recognizable force in providing technology enabled revenue management solutions to U.S. hospitals. Certive's business provides revenue recovery solutions to hospitals in the collection of claims that have been denied by insurance providers.
Certive's cloud-based solutions utilize workflow technologies, on-site supervisory assistance, and clinical support from our strategic partners that increase both the speed and amount of revenue recovery for hospitals. Integrating patient clinical data and patient accounting records through our technologies is a key differentiator to successful recovery.
Van Potter, CEO of the Company, stated "Certive's strategic growth will be achieved by remaining focussed on specific revenue cycle management opportunities such as denied claims and by leveraging our technology, solutions, and association with strategic partners that provide credentialed access to decision makers within U.S. hospitals."
ON BEHALF OF THE BOARD OF DIRECTORS OF CERTIVE SOLUTIONS INC.
Van Potter, President, CEO, Director
About Certive Solutions Inc.
Certive Solutions Inc. (Scottsdale, Arizona) provides cloud revenue cycle management solutions to U.S. hospitals, delivered collaboratively, utilizing proprietary workflow document management and analytics technologies tailored to healthcare business processes. Certive is currently focused on the denied claim segment of revenue cycle management.
The forward-looking information contained in this press release is made as of the date of this press release and except as required by applicable law, the company does not undertake any obligation to update publicly or to revise any of the included forward-looking information, whether as a result of new information, future events or otherwise. By its very nature, such forward-looking information requires the company to make assumptions that may not materialize or that may not be accurate. This forward-looking information is subject to known and unknown risks and uncertainties and other factors, which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied by such information. Neither the Canadian National Stock Exchange nor its regulation services provider (as that term is defined in the policies of the Canadian National Stock Exchange) accepts responsibility for the adequacy or accuracy of this release.