Business
KWG Resources Announces Closing of Second and Final Tranche of Its Convertible Debenture Private Placement
Toronto, Ontario--(Newsfile Corp. - May 26, 2023) - KWG Resources Inc. (CSE: KWG) (CSE: KWG.A) ("KWG" or the "Company") is pleased to announce the closing today
About this update from Canadian Chrome Company Inc.
[{"type":"text","content":" Toronto, Ontario--(Newsfile Corp. - May 26, 2023) - KWG Resources Inc. (CSE: KWG) (CSE: KWG.A) (\"KWG\" or the \"Company\") is pleased to announce the closing today of the second and final tranche of its previously announced private placement (the \"Private Placement\") of convertible debentures (the \"Debentures\") (see news release dated April 24, 2023). This second tranche was comprised of an aggregate of $1,414,000 of debentures of which an aggregate of $1,350,000 of debentures closed in escrow pending receipt of necessary consents and other matters, bringing the total principal amount of debentures issued under the first and second tranches of the Private Placement to $2,373,590. The Debentures are convertible into units (each a \"Unit\") with a deemed value of $3.00 per Unit at the holder's option at any time prior to payment in cash. The Debentures mature on April 24, 2026 (the \"Maturity Date\") and bear interest at 5% per annum, accruing daily, compounding annually on April 24 of each year, the anniversary of the date on which the first Debenture of the Series CD-2023 Debentures was issued (the \"Date of First Issuance\") and payable on each anniversary of the Date of First Issuance and at the Maturity Date or conversion. Payments of interest may be made at the Company's option either (i) by payment in cash (other than in the event of a conversion) or (ii) by the issuance of Units at a deemed value of $3.00 per Unit. Each Unit will be comprised of one (1) KWG.A multiple-voting share and one (1) share purchase warrant enabling its holder to acquire one further KWG.A multiple-voting share from treasury upon payment of $3.00 exercisable at any time on or before the earlier of (i) the third anniversary of the Maturity Date or (ii) two (2) business days after completion of a take-over bid or a merger, amalgamation, arrangement or other form of business combination as a result of which the shareholders of the Company immediately prior to such bid or business combination do not own a majority of votes attaching to the voting securities of the Company or of the resulting issuer or do not have the power to elect a majority of the directors of the Company or of the resulting issuer, as the case may be, after completion of such bid or business combination. The proceeds received by the Corporation from the sale of the De...