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EastCoal Announces Implementation of Proposal, Board Changes and Proposed Cancellation of Admission to Trading on AIM
Vancouver, BC / ACCESSWIRE / June 23, 2014 / EastCoal Inc. (NEX: ECX.H, AIM: ECX) (" EastCoal ...
About this update from Cotec Holdings Corp
[{"type":"text","content":"EastCoal Announces Implementation of Proposal, Board Changes and Proposed Cancellation of Admission to Trading on AIMVancouver, BC / ACCESSWIRE / June 23, 2014 / EastCoal Inc. (NEX: ECX.H, AIM: ECX) (\"EastCoal\" or the \"Company\") previously announced on April 23, 2014, that at a meeting of its creditors held on April 22, 2014, it had received creditor approval for the Company's proposal (the \"Proposal\") to its creditors pursuant to the Bankruptcy and Insolvency Act (Canada) (the \"BIA\"). The Company also previously announced that on May 20, 2014, the Proposal trustee, Deloitte Restructuring Inc. (the \"Proposal Trustee\") and the Company were granted an order from the Supreme Court of British Columbia approving the Proposal and the associated transactions identified below (the “Transactions”). The Company is pleased to announce that the Company’s obligations under the Proposal have been completed and the Transactions were effected as of June 23 2014. \nIn connection with the implementation of the Proposal, the Company effected a share consolidation (the “Consolidation”) of its issued and outstanding common shares (the “Common Shares”). The Consolidation was on a ratio of ten (10) pre-consolidation Common Shares to one (1) post-consolidation Common Share, consolidating the Company's 72,804,853 Common Shares to 7,280,485 Common Shares following the Consolidation. In addition, adjustments were made to the Company’s 807,500 options and 5,151,600 warrants in accordance with their terms to reflect the Consolidation, such that after the Consolidation there are 80,750 options and 515,160 warrants outstanding. The Company’s name will not be changed in connection with the Consolidation. \nIn connection with the implementation of the Proposal the Company also entered into conditional share subscription agreements with a group of investors which were subject to the completion of the Proposal. Such investors acquired, on a private placement basis, approximately a 95% (or 148,800,000 common shares on a post-consolidated basis) of the Company's issued and outstanding share capital at a subscription price of Cdn$0.005 per share for total aggregate proceeds of an amount not less than Cdn$744,000. \nFollowing the Consolidation and the closing of the subsequent private placement,...