Business
LGC Capital Ltd. Receives TSX Venture Exchange Approval for US $2.34 Million Convertible Loan Agreement
LGC Capital Ltd. Receives TSX Venture Exchange Approval for US $2.34 Million Convertible L...
About this update from Elixxer Ltd.
[{"type":"text","content":"\n\n\n\nLGC Capital Ltd. Receives TSX Venture Exchange Approval for US $2.34 Million Convertible Loan Agreement\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\nMONTRÉAL, Jan. 31, 2018\n\n\n\nLGC Capital Ltd.Symbol: TSX-V: LG\n\n\n\nMONTRÉAL, Jan. 31, 2018 /CNW/ - LGC Capital Ltd. (TSXV: LG) (\"LGC\") is pleased to announce that it has received conditional approval from the TSX Venture Exchange for its previously-announced transaction with international investors YA II PN, Ltd and Cuart Investments PCC Limited pursuant to which they will loan LGC an aggregate amount of US $2.34 million (approximately CAD $2.88 million).  LGC intends to use the net proceeds from the loan to further advance its core business divisions on its global platform.\n\n\n \n \n\n \nClosing of the transaction and the advance of funds to LGC is expected to take place shortly, subject to standard closing conditions.\n\nThe Investment Agreement between LGC and the two lenders, as amended (the \"Investment Agreement\"), provides that the loan will have a term of twelve months and bear interest at an annual rate of 9.5%, payable quarterly in arrears.  The principal amount of the loan will be convertible into LGC common shares at the option of the lenders at a price per share equal to the lesser of (i) US $0.538 (CAD $0.675), representing the US dollar equivalent of 135% of the closing price of LGC's shares on the TSX Venture Exchange on December 29, 2017 (CAD $0.50), and (ii) 90% of the lowest daily volume weighted average trading price of LGC's shares during the five trading days immediately preceding the date of a conversion notice from the lenders, subject to a minimum conversion price of CAD $0.50.\n\nUpon each advance of funds under the Investment Agreement, LGC will issue common share purchase warrants to the lenders in an amount equal to 25% of the dollar amount of the advance divided by CAD $0.4465, being the volume weighted average trading price of LGC's shares during the five t...