COLORADO SPRINGS, Colo., Sept. 30, 2017 /PRNewswire/ -- root9B Holdings, Inc. (Nasdaq: RTNB) ("RTNB" or the "Company") today announced that as previously disclosed the Company received a foreclosure notice from Centriole Reinsurance Company, Ltd., as agent for the Company's secured creditors (the "Agent"), that, to satisfy the Company's outstanding secured indebtedness, it intended to sell substantially all of the assets of the Company at an auction, pursuant to the Security Agreement, dated September 9, 2016, by and among the Company and the secured creditors (the "Security Agreement"). On September 28, 2017, the Agent held a public auction for all of the Collateral (as defined in the Security Agreement), at which no qualified bidders other than the secured creditors appeared. The Company's secured creditors entered a bid of $12,536,482, representing the total outstanding principal and unpaid interest owed to the secured creditors, and acquired all of the Collateral at the auction, thereby discharging the Company's secured indebtedness and terminating the Security Agreement.
As a result, the Company no longer has any operating assets and has no ability to generate revenue.
In connection with the auction described above, on September 28, 2017, Eric Hipkins resigned his positions as a director and Chief Executive Officer of the Company, effective immediately.
SOURCE root9B Holdings, Inc.