Business
Comet Industries Announces Short-Term Debt Financing to Fund Iron Mask Project in Kamloops, BC
(TheNewswire)   Kamloops, BC – TheNewswire - March 20, 2026, Comet Industries...
About this update from Comet Industries Ltd.
[{"type":"text","content":"Comet Industries Announces Short-Term Debt Financing to Fund Iron Mask Project in Kamloops, BC\n(TheNewswire)\n\n \n\n\nKamloops, BC – TheNewswire\n- March 20, 2026, Comet Industries Ltd.\n(“Comet” or the “Company”) announces that it has secured\napproximately $742,000 in short term loans (collectively, the\n“Loans”) to provide construction financing in relation to the\nsubdivision of its Iron Mask Project.  \n\n\n \n\n\nThe Loans were advanced in accordance with the terms\nand conditions of two promissory notes (collectively, the\n“Promissory\nNotes”) dated March 17, 2026 between the\nCompany and each of Schore Holdings Ltd. (“Schore”) and\nSeamark Development Corporation (“Seamark” and\ntogether with Schore, the “Lenders”).  The Loans are unsecured\nobligations of the Company, bear interest at a rate of 10%/annum and\nmature on March 17, 2027 (the “Maturity Date”). The Company is entitled to\nprepay all, but not less than all, amounts owing under the Loans prior\nto the Maturity Date, subject to a minimum interest payment of $35,000\nto each Lender.\n\n\n \n\n\nRelated Party Transaction\n\n\n \n\n\nThe Loans constitute a\n“related party transaction” as such term is defined under\nMultilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions\n(“MI\n61-101”) as Schore is a corporation controlled\nby Michael O’Reilly, a director and officer of\nthe Company, and Seamark is a corporation controlled by Jess Alfonso,\na director of the Company. The Company has relied on exemptions from the formal valuation\nand minority shareholder approval requirements of MI 61-101 contained\nin sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of related\nparty participation in the Loans as neither the fair market value (as\ndetermined under MI 61-101) of the subject matter of, nor the fair\nmarket value of the consideration for, the transaction, insofar as it\ninvolved the related party, exceeded 25% of the Company's market\ncapitalization (as determined under MI 61-101).\n The Loans were approved by the board of directors of the Company, with\nMr. Alfonso and Mr. O’Reilly abstaining from the vote in respect\nthereof. ...