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Madalena announces initial closing of private placement
Madalena announces initial closing of private placement Madalena announces initial...
About this update from Centaurus Energy Inc.
[{"type":"text","content":"\n\n\n\nMadalena announces initial closing of private placement\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\nMadalena announces initial closing of private placement\nCanada NewsWire\nCALGARY, July 13, 2016\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S./\n\n\n\nCALGARY, July 13, 2016 /CNW/ - Madalena Energy Inc. (\"Madalena\" or the \"Company\") (TSXV: MVN and OTCQX: MDLNF) is pleased to announce an initial closing of CAD$1.8 million, primarily to insiders, of a non-brokered private placement of 12% secured convertible debentures with a June 30, 2019 maturity date (the \"Convertible Debentures\"). The Madalena Board of Directors has authorized the issuance of up to CAD$10 million of Convertible Debentures and as such, additional closings may occur. \n\nThe recent positive ownership changes at Coirón Amargo provided the Company with operatorship and a 90% working interest at Coirón Amargo Sur Este. These changes also reduced near-term work commitments at Coirón Amargo and when combined with the proceeds of the private placement, will help to alleviate the current liquidity challenges facing the Company. \n\nThe Convertible Debentures are convertible into common shares of the Company (\"Common Shares\") at a conversion price of CAD$0.25 per Common Share. Interest on the Convertible Debentures will be payable semi-annually, in arrears. The Company may, upon notice to holders of Convertible Debentures, prepay the outstanding principal of the Convertible Debentures and any unpaid interest thereon at a price equal to:\n\n\n106% of such amount if such notice is provided within 6 months of the closing date of the issuance of the relevant Convertible Debentures (the \"Closing Date\"); \n105% of such amount if such notice is provided between 6 -12 months after the Closing Date; \n104% of such amount if such notice is provided between 12 -18 months after the Closing Date; \n103% of such amount if such notice is provided between 18 - 24 months after the Closing Date; and \n102% of such a...