Accredited Solutions Secures Agreement to Limit Share Dilution, Paving Way for Growth

Accredited Solutions, Inc. (OTC: ASII), the parent company of Diamond Creek Water, has announced a significant development in its financial strategy. The company has successfully negotiated an agreement with 100% of its variable price conversion security holders, implementing a 60-day lock-up and 6-month leak-out on all conversions. This interim agreement is a critical step towards the company's ultimate goal of full cash redemption of these securities.

The agreement is designed to prevent the issuance of a substantial number of additional shares, which could have led to significant dilution for existing shareholders. Accredited Solutions plans to utilize proceeds from an upcoming Reg A offering to redeem these variable price convertible securities, eliminating the need for their conversion into common stock. This strategic move is expected to result in a lower cost of capital for the company and substantially limit shareholder dilution.

Eduardo Brito, CEO of Accredited Solutions, expressed gratitude for the trust placed in the company by its financing partners. He stated, "This agreement is a testament to our strong relationships and commitment to creating shareholder value. The trust placed in us by our financing partners positions them for our exciting future, and we are excited about the path ahead as we work toward our 5-year growth strategy."

The implications of this agreement extend beyond immediate financial considerations. It provides Accredited Solutions with a more stable platform to pursue its ambitious growth plans. The company has set a target of achieving $750 million in annual revenue over the next five years through a combination of strategic acquisitions and organic expansion across its telco/fintech and beverage divisions.

This development is particularly significant for investors and industry observers, as it demonstrates Accredited Solutions' ability to negotiate favorable terms with its creditors and align their interests with the company's long-term vision. By avoiding the potential dilution that could have resulted from the conversion of these securities, the company is preserving value for its shareholders and creating a more attractive investment proposition.

The agreement also reflects growing confidence in Accredited Solutions' business model and growth prospects. The willingness of security holders to agree to a lock-up and leak-out period suggests they see potential for appreciation in the company's value over the coming months.

For the broader market, this move by Accredited Solutions could serve as a model for other companies facing similar challenges with variable price convertible securities. It demonstrates a proactive approach to managing capital structure and aligning the interests of various stakeholders.

As Accredited Solutions moves forward with its growth strategy, the focus will be on how effectively the company can leverage this improved financial position to pursue acquisitions and drive organic growth. The success of these efforts will be crucial in determining whether the company can meet its ambitious revenue targets and create long-term value for shareholders.

Investors and industry analysts will be closely watching Accredited Solutions' progress in the coming months, particularly the execution of its Reg A offering and any subsequent moves to redeem the convertible securities. The company's ability to deliver on its growth plans while maintaining a strong balance sheet will be key factors in assessing its long-term prospects.