HDS International Negotiates New Financing, Assignment of Convertible Notes

ST. LOUIS, MO / ACCESSWIRE / April 1, 2015 / HDS International Corp. (PINKSHEETS: HDSI), a technology development company, today announced that it has reached terms with a West Coast-based institutional investor to provide up to $4.6 million in financing through debt and equity. Further, as of this writing the Company has received term sheets for preferred equity, unsecured debt, and debentures from at least three entities.

The Company has also negotiated the re-assignment of certain convertible notes that were originally issued to a New York-based investment group. The assignment of the notes is to be completed with the understanding that, going forward, the conversion process will be managed in a manner that will be compatible with the interests of the Company and its shareholders. The shares that were reserved for the notes have been exhausted, and the Company will need to reserve additional shares for these notes once the reassignment is completed. Management believes that through shares already issued to SirenGPS, former management and non-affiliates, that HDSI has ample shares available to pledge for new moneys without requiring an immediate increase in authorized shares or a reverse stock split.

HDSI worked with its investment banking firm Source Capital Group, Inc. (“SCG”) to negotiate these financing options. HDSI CEO Paul Rauner said that he is pleased that SCG was able to develop terms for the Company. “SCG has done a great job executing on the financing that will pave the way for the next step in the process. The HDSI Strategic Expansion transaction was the starting point for a phased roll-out of SirenGPS technology. The first phase was to execute the transaction for the new management of HDSI. The second phase is to bring the working capital into the company that will allow us to go forward and that is coming together now. This funding is required to ‘vest’ exclusive license to SirenGPS technology in HDSI. We made that a requirement in order to insure that our technology gets to market. The deals we have negotiated with investors will allow us to do that. This means that we will be able to roll our 47 international patent claims, proprietary software code and platform, and other assets into the HDSI public entity in the near future. When that is accomplished it will complete our go public transaction and capitalization. We are looking forward to a working with our new investment partners and are excited that, with their commitment to back the Company, we can increase safety and security in communities and grow HDSI into an organization that can touch people’s lives globally over the coming years.”

For additional information about HDSI, please visit www.hdsicorp.com, or refer to the Company’s regulatory filings at www.sec.gov.

About HDS International Corp.

HDS International Corp. (OTC Pink: HDSI), is a technology development company based in St. Louis, MO, providing emergency management software services under a license agreement with SirenGPS, Inc., a Delaware corporation headquartered in Missouri.

About Source Capital Group.

Source Capital Group, Inc. (www.sourcegrp.com) is a boutique investment banking firm based in Westport, CT focused on emerging growth companies in technology, energy, and other domains.

Forward-Looking Statements

Statements not historical in nature, are intended, and are hereby identified as, “forward-looking statements”. Forward-looking statements may be identified by words including “anticipate,” “believe,” “intends,” “estimates,” “expect,” and similar expressions. The Company cautions readers that forward-looking statements including, without limitation, those relating to future business prospects are subject to risks and uncertainties that could cause actual results to differ materially from projections, estimates or aspirations, due to factors such as those relating to economic, governmental, technological, and any risks and factors identified from time to time in the Company’s reports filed with the SEC.

CONTACT INFORMATION

HDS International Corp.
401-400-0028 
info@hdsicorp.com
http://www.hdsicorp.com

Source Capital Group, Inc.
630-708-0750
vgrover@sourcegrp.com
http://www.sourcegrp.com

SOURCE: HDS International Corp.

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