Business
Cielo Announces Closing of Tranche of Private Placement Offering of Convertible Debenture Units
VANCOUVER, BC / ACCESSWIRE / December 27, 2019 / Cielo Waste Solutions Corp. (CSE:CMC)(OTCQB...
About this update from Cielo Waste Solutions Corp.
[{"type":"text","content":"Cielo Announces Closing of Tranche of Private Placement Offering of Convertible Debenture UnitsVANCOUVER, BC / ACCESSWIRE / December 27, 2019 / Cielo Waste Solutions Corp. (CSE:CMC)(OTCQB:CEIWF) (\"Cielo\" or the \"Company\") announces that it has closed another tranche of its private placement offering (the \"Offering\") of unsecured convertible debenture units (the \"Unit(s)\"), raising gross proceeds of $200,000 in this tranche, for a combined total gross proceeds of $1,842,000 to date throughout the Offering.Each Unit consists of one (1) $1,000 unsecured convertible debenture (the \"Debenture(s)\") and 500 share purchase warrants (the \"Warrant(s)\"). The Debentures bear interest at a simple rate of 15% per annum, the initial two (2) years of interest to be prepaid (the \"Prepaid Interest\") on the date of issuance of the Debentures (the \"Issue Date\") by the issuance of common shares (the \"Prepaid Interest Shares\") at a price of $0.12 per Prepaid Interest Share. The principal of the Debentures (the \"Principal\") together with all accrued interest exceeding the Prepaid Interest (the \"Interest Balance\") will be repaid 48 months from the Issue Date unless repaid earlier by Cielo without penalty or converted by the holder(s) thereof, any time after four months and a day following the Issue Date at a price of $0.08 for the Principal and $0.12 for the Interest Balance.Each Warrant will be exercisable for a term of 48 months from the Issue Date (the \"Warrant Term\") at an exercise price of $0.25 per share, subject to acceleration in the event that the common shares of Cielo listed on a recognized stock exchange trade at $0.50, or higher, for at least five (5) consecutive trading days, in which event Cielo may provide a notice to holders that the Warrant Term will terminate 30 days from the date of notice.Cielo has issued in aggregate to date of 1,842 Debentures, 921,000 Warrants, and 4,605,000 Prepaid Interest Shares. $15,000 of the gross proceeds of a previous tranche were a conversion of existing debt of the Company. The net proceeds of the Offering have been and will continue to be used to complete the commissioning of the Company's refinery in Aldersyde, Alberta (\"Aldersyde Refinery\"), as well as for general working capital.Although the Offering is non-brokered, the Company may pay reasonable customary brokers' and/or...