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Clarocity Corporation Announces Issuance of Shares in Lieu of Interest on Conversion of Debentures

CALGARY , March 24, 2017 /CNW/ - Clarocity Corporation (CLY.V) (the "Company" or "Clarocity") announces that holders (the "Debentureholders") of its 10% secured, redeemable, convertible debentures due May 9, 2017 (the "Debentures") may receive common shares in lieu of cash as consideration for accrued interest up to the date of conversion of their Debentures in accordance with the terms of the indenture dated May 9, 2013 governing the Debentures (the "Indenture"). Debentureholders may also exercise the common share purchase warrants issuable upon conversion of the Debentures immediately at the exercise price of $0.15 per common share (the "Warrants").

Under the terms of the Indenture, Debentureholders may elect to receive settlement of interest payments in the equivalent common shares of the Company converted at the greater of the Market Price prescribed under the policies of the TSX Venture Exchange or the volume average trading price for the 20 trading days prior to the date that Debentureholders elect to convert their Debentures (the "Date of Conversion"). The Company expects that up to $62,256.17 of accrued interest will be paid to Debentureholders in common shares upon conversion of Debentures prior to maturity.

Should Debentureholders wish to convert their Debentures prior to maturity, they must submit a Conversion Notice in the prescribed form prior to May 9, 2017 which is available on SEDAR at www.sedar.com. Debentureholders may also immediately exercise their Warrants as of the Date of Conversion by so indicating on the Conversion Form. The Company asks the Debentureholders to fill out the Conversion Notice together with payment for the Warrant exercise made payable to Clarocity Corporation in accordance with the Instructions in the Conversion Notice.

About Clarocity Corporation

Clarocity Corporation provides real estate valuation solutions and platform technologies designed to address today's dynamic housing market. Our innovative platform is driving the next-generation of valuation solutions such as MarketValue Pro (MVP) and BPOMerge and setting new standards in real estate valuation quality and reliability.

Every day GSE, banking and investor clients rely on our proprietary solutions to value assets, fund loans, and securitize portfolios. As a fully integrated technology and valuation services company, Clarocity provides a full spectrum of appraisal and alternative valuation solutions. For more information, visit www.clarocity.com.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Information

This news release contains forward-looking statements within the meaning of applicable securities laws which may include financial and business prospects, as well as statements regarding the Company's future plans, objectives or economic performance and financial outlooks. Such statements are subject to risk factors associated with the real estate industry, and the overall economy in both Canada and the United States. Forward-looking information in this press release, includes, among other things, information relating to any applicable approvals required in order to issue the common shares in lieu of interest, and complete the conversion of debentures and warrant exercise, which may include, but is not limited to, the approval of the TSX Venture Exchange. The Company believes that the expectations reflected in this news release are reasonable but actual results may be affected by a variety of variables and may be materially different from the results or events predicted in these forward-looking statements. Readers are therefore cautioned to not place undue reliance on these forward-looking statements. In evaluating forward-looking statements readers should consider the risk factors which could cause actual results or events to differ materially from those indicated by such forward looking statements. These forward-looking statements are made as of the date hereof, and unless otherwise required by applicable securities laws, the Company does not intend nor does it undertake any obligations to update or revise any forward-looking statements.

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 of the Company will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act, and may not be offered or sold within the United States or to, or for the account or benefit of U.S. persons except in certain transactions exempt from the registration requirements of the U.S. Securities Act)

SOURCE Clarocity Corporation


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