Hestia Insight Inc. 8-K

What Happened
Hestia Insight Inc. (HSTA) announced on April 25, 2026 that its Board executed a Strategic Divestiture & Settlement Agreement with director Edward Lee. Under the agreement, the Company agreed to transfer (divest) its 100% wholly owned subsidiary, Hestia Investments Inc., and all related assets to Mr. Lee in lieu of paying him cash or equity for six years of unpaid service (valued at $500,000). The transfer is described as fully satisfying any and all debts owed by the issuer. Mr. Lee will remit 20% of any annual earnings the subsidiary produces to Hestia Insight for the next two calendar years.

Key Details

• Agreement executed by the Board on April 25, 2026; 8-K filed April 29, 2026.
• The Company valued six years of unpaid director compensation at $500,000 and accepted the subsidiary as consideration.
• Hestia Investments Inc. (100% owned subsidiary) will be transferred to director Edward Lee.
• Mr. Lee will pay Hestia Insight 20% of any annual earnings from the subsidiary for the next two calendar years.

Why It Matters
This is a material definitive agreement (Item 1.01) that changes the Company’s asset base and settles contractual obligations without a cash payout today. Investors should note the deal is a related-party transaction (the recipient is a Company director) and results in both debt relief for the issuer and the loss of a subsidiary that could have produced future revenue. The 20% earnout for two years provides a limited contingent return to Hestia Insight but does not replace the immediate value of the divested assets. Review the full 8‑K and attached agreement exhibits for complete terms and any additional disclosures.