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Composite Alliance Group Announces Amendments to Previously Issued Debentures and New Loan
Calgary, Alberta--(Newsfile Corp. - November 13, 2020) -  Composite Alliance Group Inc. (...
About this update from Composite Alliance Group, Inc. Class A
[{"type":"text","content":"Composite Alliance Group Announces Amendments to Previously Issued Debentures and New LoanCalgary, Alberta--(Newsfile Corp. - November 13, 2020) -  Composite Alliance Group Inc. (formerly CanAsia Financial Inc.) (TSXV: CAG) (the \"Company\" or \"CAG\") announces that it has: (i) reached an understanding with the related party holders, Malchemy Corporation Limited (\"Malchemy\") and K Plus Capital LLC (\"K Plus\"), of two previously issued convertible unsecured debentures (the \"Convertible Debentures\") in the aggregate principal amount of $660,000 to replace the Convertible Debentures with new debentures that are not convertible and have an extended maturity date of November 15, 2025, (ii) entered into an amending agreement with the related party holder, Team Alpha Limited (\"TAL\"), of a previously issued unsecured debenture (the \"Unsecured Debenture\") in the amount of up to $600,000, of which $400,000 has been drawn to date, to extend the maturity date of the Unsecured Debenture to January 31, 2026, and (iii) obtained a loan (the \"Loan\") of up to $1,000,000 from a related party, TAL, which Loan is unsecured, shall bear interest at a rate of 5% per annum, matures on November 15, 2025 and of which no amounts have been drawn at this time. Malchemy is an entity controlled by Sicheng Zhang, a director, officer and shareholder of the Company, and TAL and K Plus are entities controlled by Jim Hsieh, a director, officer and shareholder of the Company. Other than the amendments described herein, the other terms of the Convertible Debentures and Unsecured Debenture remain the same. The foregoing is subject to regulatory approval.Related Party Participation The amendments to the Convertible Debentures and the Unsecured Debenture are with entities controlled by insiders of CAG and the Loan is being provided by an entity controlled by an insider of CAG. As insiders of the Company participated in these transactions, they are deemed to be \"related party transactions\" as defined under Multilateral Instrument 61-101-Protection of Minority Security Holders in Special Transactions (\"MI 61-101\").Neither the Company, nor to the knowledge of the Company after reasonable inquiry, a related party, has knowledge of any material information concerning the Company or its securities that has not been generally disclosed. Since the Unsecured...