Business
Centaurus Energy Inc. (Formerly Madalena Energy Inc.) Announces New Credit Facilities, Appointment of New Board Members and Management Changes
Calgary, Alberta--(Newsfile Corp. - March 25, 2020) - Centaurus Energy Inc. (TSXV: CTA) (OTCQX...
About this update from Centaurus Energy Inc.
[{"type":"text","content":"Centaurus Energy Inc. (Formerly Madalena Energy Inc.) Announces New Credit Facilities, Appointment of New Board Members and Management ChangesCalgary, Alberta--(Newsfile Corp. - March 25, 2020) - Centaurus Energy Inc. (TSXV: CTA) (OTCQX: CTARF) (\"Centaurus\" or the \"Company\") announces that it has entered into a binding term sheet with respect to a debt financing agreement with Maglan Distressed Master Fund LP (the \"Agreement\") pursuant to which the Company will have access of up to US$23 million, accruing interest on draws at the rate of 7% per annum, in the form of convertible and non-convertible loan facilities (the \"Maglan Facilities\"). Proceeds from the convertible loan facility shall be used by the Company to fund capital expenditure while proceeds under the non-convertible loan facility shall be used for the ongoing working capital requirements of the Company. The Maglan Facilities will have substantially similar terms as the Company's existing credit facilities, being the Working Capital Loan Agreement dated May 8, 2017, as amended April 7, 2019 between the Company and Hispania Petroleum S.A. and the Amended and Restated Convertible Loan Agreement made effective as of April 7, 2019 among the Company, Hispania Petroleum S.A., and KD Energy International Capital Limited.The Company is pleased to announce that it has appointed David D. Tawil and Steven Azarbad to the board of directors of Centaurus (the \"Board\").  In addition, the Company has terminated the employment of Jose Peñafiel as President and Chief Executive Officer, the employment of Alejandro Peñafiel as Vice President, Growth and Capital and the employment of Ezequiel Martinez Ariet as Chief Financial Officer. The Board has appointed David D. Tawil as interim Chief Executive Officer.  Mr. Tawil commented: \"I am proud to assume the leadership of Centaurus. I am confident that Argentina’s vast energy resources will be profitably developed and Centaurus’ involvement can support the nation’s success and maximize value for Centaurus shareholders.\"Mr. Tawil is a co-founder of Maglan Capital, an event-driven fund, and has served as President since its founding in 2009. Prior to founding Maglan Capital, Mr. Tawil was an investment banker with Credit Suisse, where he served as Director of Leveraged Finance. Be...