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Eastern Platinum Limited Announces Settlement with Alphaglobal
Eastern Platinum Limited Announces Settlement with Alphaglobal Canada NewsWire V...
About this update from Eastern Platinum Limited
[{"type":"text","content":"\n\n\n\nEastern Platinum Limited Announces Settlement with Alphaglobal\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nVANCOUVER, BC, June 26, 2020\n\n\n\n/NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES/\nTrading Symbol: ELR (TSX); EPS (JSE)\n VANCOUVER, BC, June 26, 2020 /CNW/ - Eastern Platinum Limited (\"Eastplats\" or the \"Company\") today announced that the Company has reached a settlement agreement with AlphaGlobal Capital Inc. (\"AlphaGlobal\") to dismiss all claims against the Company and its subsidiaries and to release the Company from any and all claims that AlphaGlobal may have against the Company or its subsidiaries (the \"Claims\"), in exchange for the issuance of 8,000,000 common shares of the Company (each a \"Common Share\") at a deemed subscription price of $0.235 CDN (CDN$1,880,000), 6,000,000 common share purchase warrants exercisable at $0.24 CDN each entitling the holder to acquire one Common Share of the Company for a period of two years (the \"Warrants\"), and the payment of South African Rand (\"ZAR\") 9,000,000 (ZAR5,000,000 on closing and ZAR1,000,000 each quarter end starting on September 30, 2020) (CDN$720,000) (the \"Settlement Transaction\").\nThe Settlement Transaction received conditional approval by the Toronto Stock Exchange (the \"TSX\").  The Common Shares, the Warrants and the Common Shares issuable upon exercise of the Warrants will be subject to a hold period of four months and a day as of the date of issuance in accordance with applicable securities laws.\nThe Claims against the Company were first initiated by commencement of litigation in 2017 in South Africa and continued by litigation in 2018 in the British Virgin Islands in relation to the payment of amounts alleged to be owing under a 2007 promissory note entered into by the Company and AlphaGlobal. AlphaGlobal sought payment of the amount of ZAR 30,797,464 (CDN$2,463,797) plus an amount that AlphaGlobal claimed was owing for default interest from 2007, for an estimated total claim in excess of ZAR 170,000,000 (CDN$13,600,...