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CanadaBis Announces Closing of New Credit Facility and Amendment to Previously Announced Non-Brokered Private Placement
Red Deer, Alberta--(Newsfile Corp. - September 7, 2021) - CanadaBis Capital Inc. (TSXV: CANB) ...
About this update from Canadabis Capital, Inc.
[{"type":"text","content":"CanadaBis Announces Closing of New Credit Facility and Amendment to Previously Announced Non-Brokered Private PlacementRed Deer, Alberta--(Newsfile Corp. - September 7, 2021) - CanadaBis Capital Inc. (TSXV: CANB) (the \"Corporation\" or \"CanadaBis\") is pleased to announce that, further to its press release on June 2, 2021, the first tranche of funding of $7,210,000 in respect of the previously announced new credit facility (the \"New Credit Facility\") with Connect First Credit Union Ltd. (the \"Lender\") was completed on July 23, 2021. The New Credit Facility is comprised of (i) a five-year term secured loan of $8,850,000 (the \"Loan\") bearing interest at a fixed rate of 4.35% per annum (calculated daily and payable monthly in arrears); and (ii) a $750,000 demand line of credit bearing interest at a rate of the Lender's prime lending rate plus 1.00% per annum (calculated daily and payable monthly in arrears). The proceeds of the Loan will be used to refinance outstanding debt. The funds from the demand line will be used to assist with day-to-day operations, as required. The second tranche of funding ($1,640,000) shall be advanced by the Lender upon completion and delivery of the Corporation's July 31, 2021 year-end audited financials, provided all financial covenants and benchmarks have been met or exceeded.In addition, further to the Corporation's press release dated June 2, 2021, the Corporation is pleased to announce it has agreed to amend the terms of its previously announced private placement (the \"Amended Private Placement\") with Plant-Based Investment Corp. (\"PBIC\"). The Amended Private Placement will now consist of the sale of 11,538,462 units of the Corporation (the \"Units\") at a price of $0.13 per Unit for gross proceeds $1,500,000. Each Unit shall be comprised of one common share of the Corporation (\"Common Share\") and one Common Share purchase warrant (\"Warrant\"). Each Warrant will entitle the holder thereof to purchase one Common Share (\"Warrant Share\") at an exercise price of $0.25 per Warrant Share for three years from the date of issuance of such Warrant. The Corporation intends to close the Amended Private Placement in two tranches, with the first tranche expected to close as soon as practicable and the second tranche expected to close concurrently with closing of the previously announced short-f...