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CoTec Holdings Corp. Announces Automatic Conversion of Kings Chapel Converitble Loan and Establishment of $6.6 Million in New Convertible Loan Facilities
VANCOUVER, BRITISH COLUMBIA / ACCESS Newswire / August 11, 2025 / CoTec Holdings Corp. (TSXV:C...
About this update from Cotec Holdings Corp
[{"type":"text","content":"CoTec Holdings Corp. Announces Automatic Conversion of Kings Chapel Converitble Loan and Establishment of $6.6 Million in New Convertible Loan FacilitiesVANCOUVER, BRITISH COLUMBIA / ACCESS Newswire / August 11, 2025 / CoTec Holdings Corp. (TSXV:CTH)(OTCQB:CTHCF) (\"CoTec\" or the \"Corporation\") is pleased to announce the repayment of its existing convertible loan (the \"Prior Convertible Loan\") with Kings Chapel International Limited (\"Kings Chapel\") pursuant to the convertible loan agreement dated November 19, 2024, as amended (the \"Prior Convertible Loan Agreement\"). The Corporation has also entered into new convertible loan agreements (the \"New Convertible Loan Agreements\") with Kings Chapel and certain funds managed by Epic Capital Management Inc. (\"Epic Capital\"). Pursuant to the New Convertible Loan Agreements, Kings Chapel and Epic Capital have agreed to make available loans to the Corporation in the aggregate principal amounts of up to $5,000,000 and up to $1,600,000, respectively (the \"New Convertible Loans\").Pursuant to the Prior Convertible Loan Agreement, the entire outstanding principal amount of the Prior Convertible Loan, being $4,851,387, was automatically repaid by the Corporation by the delivery to Kings Chapel as a result of the volume weighted average trading price of the Common Shares on the TSX Venture Exchange (the \"TSXV\") over the immediately preceding 15 trading days being greater than $1.00. The Corporation satisfied its obligation to repay the outstanding principal amount by delivering to Kings Chapel 6,468,515 of common shares in the capital of the Corporation (\"Common Shares\") at a price of $0.75 per Common Share.Pursuant to the New Convertible Loan Agreements, the outstanding principal amount of each of the New Convertible Loans bears interest at an annual rate of 10% and is repayable, together with accrued and outstanding interest, on December 31, 2028. The undrawn principal amounts under the New Convertible Loans also bear a stand-by fee of 2.5% per annum, which shall be calculated and accrue daily and compounded annually. The Corporation's obligations under the New Conterible Loan Agreements are unsecured. No amounts have been drawn under the New Convertible Loan Agreements as of the date hereof.The outstanding principal amount under each of the New Convertible Loan Agreements w...