Versus Systems Inc. Enters into Business Funding Agreement with ASPIS Cyber Technologies Inc. for $2.5 Million

On October 16, 2024, Versus Systems Inc. (NASDAQ: VS) entered into a significant Business Funding Agreement with ASPIS Cyber Technologies, Inc. (ASPIS), according to an 8-K SEC Filing. As per the agreement, ASPIS agreed to make a $2,500,000 investment in Versus Systems Inc. ASPIS, a cloud-based mobile endpoint cyber security technology company specializing in anti-tapping and anti-hacking solutions within various sectors, is an affiliate of the Company’s largest shareholder, Cronus Equity Capital Group, LLC (CECG).

The agreement sees ASPIS providing an initial investment amount of $500,000 to Versus Systems Inc. as of the Initial Funding Date, with the remaining $2,000,000 slated for delivery on or before November 15, 2024. Upon shareholder approval of the conversion and the Company’s redomiciling to Delaware at the upcoming annual shareholders meeting in December 2024, the funded amount will automatically convert into units consisting of common shares and warrants.

Following this transaction and assuming full funding and approval, ASPIS stands to receive 2,155,172 common shares and warrants to purchase an additional 1,077,586 shares. This would represent approximately 43.6% of the outstanding Common Shares of Versus Systems Inc. as of August 12, 2024, in addition to other potential shares through the exercise of warrants.

The Subscription Agreement and form of Warrant associated with this investment will be included as exhibits in Versus Systems Inc.’s forthcoming Quarterly Report on Form 10-Q. The Company has indicated that the Securities’ sale and issuance will not be registered under the Securities Act of 1933, supported by certain exemptions, with ASPIS confirmed as an accredited investor intending to acquire the Securities for investment purposes.

In a related event, 240,490 of the 2023 Common Warrants issued by Versus Systems Inc. were exercised on October 16, 2024, resulting in the issuance of 240,490 Common Shares and proceeds of $885,003.20 to the Company.

It is worth noting that this report contains forward-looking statements within the meaning of securities laws, and actual outcomes may differ from those projected due to various factors outlined in the filing. For a more detailed understanding of the risks involved, readers are encouraged to refer to the Company’s periodic filings with the Securities and Exchange Commission.

The document was signed on behalf of Versus Systems Inc. by Curtis Wolfe, Interim Chief Executive Officer, on October 22, 2024.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Versus Systems’s 8K filing here.

Versus Systems Company Profile

Versus Systems Inc develops and operates a business-to-business software platform in the United States and Canada. The company offers eXtreme Engagement Online platform that is designed primarily for in-venue main-board work in stadiums and arenas; Filter Fan Cam (FFC) platform, an augmented reality filtering tool that can be used for mobile and in-venue applications; and Winfinite, which allows brands, media companies, and advertising agencies to reach out to customers directly on their mobile devices.