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Lithium Energy Products Announces Amendment to Definitive Agreement with American Strategic Minerals and Updates Transaction Structure
(via TheNewswire) Vancouver, British Columbia - TheNewswire - January ...
About this update from Ares Strategic Mining Inc
[{"type":"text","content":"Lithium Energy Products Announces Amendment to Definitive Agreement with American Strategic Minerals and Updates Transaction Structure(via TheNewswire)\n \n \n \n\nVancouver, British Columbia - TheNewswire - January 30, 2020. LITHIUM ENERGY PRODUCTS INC. (\"LEP\" or the \"Company\") (TSXV:LEP) (FRANKFURT:N8I) today announced that, further to its news releases of April 3, 2019 and October 11, 2019, LEP has entered into an amending agreement (the \"Amendment\") to the definitive amalgamation agreement dated April 1, 2019, as amended (together, the \"Agreement\"), with American Strategic Minerals Inc. (\"ASM\"), a private British Columbia company which holds the prospective Lost Sheep Property.\n\n \n\nThe Amendment permits LEP to close a proposed shares for debt transaction detailed below prior to the Transaction and, when combined with other changes set out in the Amendment, results in the Transaction no longer being deemed a reverse take-over transaction for accounting purposes. Instead, LEP is proceeding to obtain approval of the Transaction from the TSX Venture Exchange (the \"TSXV\") as a \"Fundamental Transaction\" as defined by TSXV policies which LEP anticipates will expedite the closing process.\n\n \n\nThe changes in the Amendment do not affect the structure of the Transaction or the number of securities issuable to acquire all of the outstanding securities of ASM.\n\n \n\nTo repeat prior news releases, it is structured as a three-cornered amalgamation among LEP, ASM, and a wholly-owned subsidiary of LEP (the \"Transaction\"). Pursuant to the terms of the Agreement, the existing shareholders of ASM will each receive one common share of LEP (each, a \"Lithium Share\") and one half of one warrant at an exercise price of $0.16 for each two shares of ASM.\n\n \n\nThe closing of the Agreement is subject to:\n\n \n\n- A non-brokered private placement (the \"Financing\") raising gross proceeds of up to a remaining amount of $3,300,000 at a price of $0.08 per unit, with each unit comprised of one Lithium Share and one half of one share purchase warrant of LEP, and with each whole warrant entitling the holder to acquire an additional Lithium Share at the exercise price of $0.15 for a period of two years from the date of issuance (each, a \"Lithium Unit\"). At this time, LEP anticipates that it will close on gross proceeds of $1,8...