Waterloo, Ontario / TheNewswire / July 3, 2018 - SponsorsOne Inc. (CSE: SPO) (Frankfurt: 5SO) (the “Corporation”, or “SponsorsOne”) is pleased to announce it has entered into various debt re-structuring arrangements to improve its working capital position.  The Corporation reached agreement with holders of accounts payable and accrued balances to extend, settle, or reduce the outstanding balances. Extensions (the “Extensions”) occurred with holders of $154,271 of accounts payable.  Such amounts bear interest at 12% per annum (with payment thereof deferred until July 31, 2019) and are now payable over a 3 year period with the first monthly payments commencing on July 31, 2019 with equal monthly installments sufficient to satisfy the debts in full by June 30, 2021.  Accounts payable and accrued balances totaling $1,227,823 were agreed to be settled in full for cash payments totaling $30,632 (the “Settlements”).  The Settlements were obtained from persons friendly to the Corporation who expressed a willingness to resolve old balances at reduced or zero payout. Lastly, the Corporation made going forward reclassifications (the “Reclassifications”) on accounts payable totaling $473,639 as other liabilities – long term, on the basis that the amounts are disputed and management believes them to be without merit. The Extensions, Settlements and Reclassifications resulted in a reduction of accounts payable totaling $1,855,733.  The Corporation also has reached agreement to settle an additional $191,144 in accounts payable by the payment of $30,000 and the issuance of 400,000 common shares.

Portions of the Extensions and Settlements constitute related party transactions within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions as related parties to the Corporation: (i) were owed $26,000 that formed part of the Extensions; and (ii) were owed own an aggregate of $478,700 of the Settlements and were written off to $0.00.  For more information, see the Material Change Report to be filed on SEDAR in conjunction with the Debt Restructuring.  

This news release does not constitute an offer to sell, or a solicitation of an offer to buy, any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

ABOUT SPONSORSONE

SponsorsOne is disrupting the traditional advertising model and leveling the playing field for small brands. Our cloud based platform, SponsorsCloud, lets brands reach millions of targeted consumers with authentic, word-of-mouth advertising, bypassing intermediaries like agencies and ad networks. Our proprietary cryptocurrency, SponsorCoin will be awarded to influencers who share brand promotions with their social media followers. SponsorCoin will then be able to be used to purchase products and services at a discount from any brand on our network or trade for popular cryptocurrencies such as Ethereum, Bitcoin and Litecoin. This new advertising model will significantly cut upfront costs for brands and give every customer an incentive to become a brand ambassador.

For more information, please contact:

Gary Bartholomew, Executive Chairman

To learn more please visit http://sponsorsone.com

Or email: info@sponsorsone.com

The CSE has neither approved nor disapproved the contents of this Press Release.