Business
CleanGo Innovations Announces Shares for Debt and Non Brokered Placement
(TheNewswire) VANCOUVER, BC – TheNewswire - May 16, 2023 - CleanGo Innovatio...
About this update from Cleango Innovations Inc
[{"type":"text","content":"CleanGo Innovations Announces Shares for Debt and Non Brokered Placement\n \n \n (TheNewswire)\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n VANCOUVER, BC –\n \n \n TheNewswire\n-\n \n \n May 16, 2023 - CleanGo Innovations Inc.\n(CSE:CGII) (CNSX:CGII.CN) (OTC:CLGOF) (FRA:APO2) (“CleanGo” or the\n“Company)\n \n \n has agreed to a securities for debt\nsettlement transaction (the \"Debt Settlement\") with Anthony\nSarvucci, a the CEO and a director of the Company.  Pursuant to the\nDebt Settlement, the Company will settle outstanding indebtedness\nof\n \n \n \n $150,000\n \n \n \n through the issuance of 500,000 units (the \"Units\")\nat a price of\n \n \n \n $0.30\n \n \n \n per Unit. Each Unit\nconsists of one common share of the Company (each, a \"Common\nShare\") and one Common Share purchase warrant (each, a\n\"Warrant\"). Each Warrant allows for the purchase one\nadditional Common Share at an exercise price of\n \n \n \n $0.40\n \n \n \n for a\nperiod of 24 months from the date of issue.\n \n \n \n \n The Company further announces a non brokered Private\nplacement for an aggregate of $75,000 for Units being offered at $0.30\nper units consisting of one common share of the Company (each, a\n\"Common Share\") and one Common Share purchase warrant (each,\na \"Warrant\"). Each Warrant allows for the purchase one\nadditional Common Share at an exercise price of\n \n \n \n $0.40\n \n \n \n for a\nperiod of 24 months from the date of issue. The use of proceeds will\nbe for General Working Capital.\n \n \n \n \n All securities issued will be subject to a statutory\nhold period of four months and one day from the date of issuance in\naccordance with applicable Canadian securities legislation.\n \n \n \n \n Closing of the Debt Settlement is expected to occur on\nor about\n \n \n \n May 19,\n2023\n \n \n \n .\n \n \n \n \n The Debt Settlement is a \"related party\ntransaction\" pursuant to Multilateral Instrument 61-101\n–\n \n \n Protection of Minority\nSecurity Holders in Special Transactions\n \n \n (\"MI 61-101\") by virtue of L5 Capital being\nwholly-owned and controlled by an insider of the Company. The Company\nrelied on Sections 5.5(a) and 5.7(1)(a) of MI 61-101 for exemptions\nfrom the requirements to obtain a formal valuation and minority\nshareholder approval, respectively, because ...