Loading ...VAL-D’OR, QUEBEC–(Marketwired – Feb. 23, 2015) – Metanor Resources Inc. (“Metanor”) (TSX VENTURE:MTO) announces that an extraordinary resolution (the “Resolution”) has been approved by the holders of over 66 2/3 % of the aggregate outstanding principal amount ($10.0 million) of the Subordinated Secured Convertible Debentures, issued August 22, 2012, (the “Debentures”), as required under the debenture indenture, which extends the maturity date of the Debentures by 24 months, to August 22, 2017, conditional upon an equity financing of a minimum amount of $3.0 million being completed and an immediate repayment of $1.0 million in principal, plus accrued interest, of the Debentures allocated to the Debentureholders, pro rata, as payment on account of the outstanding capital on the Debentures. The Resolution also grants Metanor the right to repurchase the Debentures, at any time, in whole or in part, prior to the extended maturity date.
Concurrent Brokered Private Placement
Metanor announces that it will be offering by private placement through Secutor Capital Management Corp. and Marquest Capital Markets, a maximum of 66,666,667 units priced at $0.06 each, which consist of one common share and one half (1/2) of one common share purchase warrant having an exercise price of $0.075 and a term of 24 months, for maximum proceeds of $4.0 million (plus a 15% over allotment option).
The closing of the private placement is conditional upon Metanor having received subscriptions in the minimum amount of $3.0 million (50,000,000 units) in order to give effect to the Resolution approved by the Debentureholders. The proceeds of the offering will be used for general corporate purposes, exploration work on Metanor’s Quebec properties and for the partial capital repayment, of $1.0 million,of principal of the Debentures. In connection, with the private placement, the agent will receive a cash fee equal to 9% of the gross proceeds raised and will receive non-transferable broker warrants, in a quantity equal to 9% of the gross proceeds raised.
All securities issued will be subject to a four month hold period and these transactions remain subject to the approval of the TSX Venture Exchange.