Business
Connacher Enters into Second Forbearance Agreement
Connacher Enters into Second Forbearance Agreement Connacher Enters into Second Fo...
About this update from Christina Lake Cannabis Corp
[{"type":"text","content":"\n\n\n\nConnacher Enters into Second Forbearance Agreement\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\n\n\n\n\n\nConnacher Enters into Second Forbearance Agreement\nCanada NewsWire\nCALGARY, May 2, 2016\n\n\n\nCALGARY, May 2, 2016 /CNW/ - Connacher Oil and Gas Limited (CLC - TSX; \"Connacher\" or the \"Company\") today announced that it has entered into a second forbearance agreement (the \"Second Forbearance Agreement\") with Wilmington Trust, National Association, as successor administrative agent (or any successor thereto, the \"Administrative Agent\") and certain lenders constituting the \"Required Lenders\" under the Credit Agreement in respect of US$153.8 million of loans made by the lenders (the \"Lenders\") under the Credit Agreement, dated as of May 23, 2014 (as amended, restated, supplemented, or otherwise modified from time to time (including as amended pursuant to the Amendment No. 1 dated May 8, 2015), the \"Credit Agreement\").\n\nUnder the terms of a Forbearance Agreement that was entered into on March 31, 2016, (the \"First Forbearance Agreement\")  the Lenders agreed to forbear from exercising their enforcement rights and remedies arising on account of the failure of Connacher to pay the cash interest and principal payments due on March 31, 2016 until the earlier to occur of April 30, 2016, the occurrence of an event of default under the Credit Agreement that is unrelated to the failure to pay principal and interest due on March 31, 2016, or the occurrence of a default or breach of representation by the Company under the Forbearance Agreement.\n\nThe Second Forbearance Agreement extends the forbearance period until May 16, 2016.  A copy of the Second Forbearance Agreement will be filed on the Company's profile at www.sedar.com. \n\nAs previously disclosed, the failure to pay the principal payment due on March 31, 2016 and the failure to pay cash interest within the applicable grace period pursuant to the Credit Agreement also constituted an event of default under the 12% convertible second lien note indenture dated May 8, 2015 (the \"Convertible Note...