Last Mile Holdings Sees Its Assets Sold Off Under Foreclosure

As a follow up to our latest coverage on Last Mile Holdings (TSXV: MILE) it appears that the company has failed in executing its business plan. The firm announced this evening that following a public disposition of collateral that was conducted by the secured lender of the firm, the company has substantially lost all the assets of OjO Electric Inc, Gotcha Mobility LLC, Gotcha Ride LLC, and Gotcha Bike LLC.

The assets of the firm were sold to that of Bolt Mobility Corporation for a total sum of US$3.0 million under a credit bid, leaving effectively nothing for shareholders given the fact that this figure does not cover the total figure owed to lenders. Following the foreclosure sale, the secured lender did however grant release to Last Mile of its corporate guarantee, leaving the firm with only its Canadian corporate liabilities.

And there you have it folks, the risk of secured debt which, in our view, is heavily underappreciated within the current capital markets environment. Following the foreclosure of these assets, it is unclear if Last Mile is now anything but a shell trading on public exchanges.

Last Mile Holdings last traded at $0.005 on the TSX Venture.

Information for this briefing was found via Sedar and Last Mile Holdings. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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