While revenues were down in SSA’s core Brake Safe line, it was more than made up by growth in other lines – notably Termin-8R and Zafety Lug Lock. Growth in Termin-8R is important to watch – this product is an anti-corrosion lubricant and the closest to a recurring revenue product out of everything in SSA’s portfolio. The other story beyond business progress has been SSA’s efforts to clean up their balance sheet and ownership structure. As announced on July 2nd, 2019, SSA recently completed a non-brokered private placement (which we participated in). Terms of the financing were as follows: - Size: $830,000 CAD
- Pricing: Units at $0.05
- Unit details: each unit consisted of 1 common share and ½ warrant at $0.075 good for 18 months following close
- Warrants: subject to acceleration clause should shares trade at or above $0.12 for 15 consecutive trading days
- Use of proceeds: pay off $652,062 royalty debenture + general corporate purposes
Since closing, Spectra has extinguished all royalty debt, paid off all preferred share liabilities and bought back a 33% minority interest in Spectra Products, their primary operating subsidiary, from former-Chairman & current-CFO Glen Campbell.
So while shareholders were diluted 27% by the financing, their ownership in the operating business increased by 50%. That, combined with business performance, has led to growth in revenue and earnings per share for shareholders: | 
