HUTN Takes Steps to Strengthen Balance Sheet SPRIN

SPRINGFIELD, Ohio, Dec. 31, 2018 (GLOBE NEWSWIRE) -- via OTC PR WIRE--  HUTN Inc. (OTC: HUTN) board has approved a financial restructuring program under which it intends to offer certain unsecured creditors a choice of securities to satisfy outstanding obligations. The board believes a successful restructuring will discharge a majority of the Company’s debt and create a strong foundation for 2019.

The offer will commence immediately and is to be completed by January 12, 2019.   The offer is to be made to all unsecured creditors who claim at least $10,000; except utilities; taxing authorities, those holding third-party collateral and non-profit religious organizations (collectively, the “Eligible Offerees”).

Eligible Offerees can choose one of the following securities:

• Series E Preferred Stock with a 6% cumulative dividend, non-dilutive and voting as a class, not with common, on certain matters that impact preferred holders. No cash dividend can be paid to common stock holders until the Series E Preferred Stock has been redeemed in full.

or,

• Common Stock.

The securities are to be issued in reliance upon an exemption from registration pursuant to Rule 506 of the Securities Act of 1933 and will therefore be subject to the resale restrictions under Rule 144 under said Act. 

The securities offered are subject to the terms and conditions set forth in the confidential offering memorandum (the "Offering Memorandum") that will be provided to the Eligible Offerees.  All Eligible Offerees who receive the offer must accept it or it will be deemed rejected.  The Company believes a successful financial restructuring is crucial to achieve business objectives and is in the paramount interest of all stakeholders including the Eligible Offerees.

When the restructuring is completed, HUTN expects to have only secured liabilities on its balance sheet, with limited exceptions as described above.  This restructuring allows HUTN to start 2019 in a strong financial position. 

About HUTN

HUTN, Inc. is a FinTech company whose subsidiaries provide branded services to consumers ("B2C").  Our subsidiaries provide services and products involving a wide range of financial technologies and have developed specialty services that are designed to enhance individual savings, investing and communication.