KWG Resources Announces Increase of Convertible Debenture Offering and Extension of Expiry Date of Options to Purchase Additional Debentures

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[{"type":"text","content":" Toronto, Ontario--(Newsfile Corp. - April 5, 2018) - KWG Resources Inc. (CSE: KWG.A) (CSE: KWG) (OTC: KWGBF) (FSE: KW61) (\"KWG\") is pleased to announce that it obtained approval from the Canadian Securities Exchange (\"CSE\") to increase the previously announced private placement (the \"Private Placement\") to a maximum of $3,000,000 of debentures convertible at the option of KWG into units with a deemed value of $21 per unit (each a \"Unit\"). Each subscriber will receive an option (the \"Option\") to acquire an equal amount of additional debentures at any time within 120 days from closing. Each Unit will be comprised of four KWG.A multiple voting shares and four multiple voting share purchase warrants, with each such warrant enabling its holder to acquire one further KWG.A multiple voting share from treasury upon payment of $7.50 at any time within two years from the date of the debenture's issuance. The debentures will bear interest at a rate of 12% per annum, accruing daily, compounding annually and payable at the earlier of maturity, redemption or conversion, in KWG.A multiple voting shares from treasury at their volume-weighted average price (\"VWAP\") for the ten trading days prior to payment. The debentures secure repayment of the principal, plus interest earned thereon to the date of payment, plus a premium of 20% of the original principal amount payable immediately following issuance of the debenture by the issuance of Units with a deemed value of $21 per Unit. At any time and from time to time, KWG will have the right to redeem the debenture in whole or in part by payment in cash, or convert the debentures in whole or in part into Units. In respect of the Private Placement, KWG previously received approval from the CSE for the issuance of up to $2,600,000 of convertible debentures of which an aggregate of $2,576,908.25 of debentures were issued on December 15, 2017. KWG also announces the extension of the expiry date of the Options granted on December 15, 2017, at the time of closing of its previous tranche of Private Placement, from April 15, 2018 to June 29, 2018. About KWG: KWG is the Operator of the Black Horse Joint Venture after acquiring a vested 50% interest through Bold Ventures Inc. which is carried for 10% (20% of KWG's equity in the JV) by KWG funding all exploration expenditures. KWG also owns 100% of ...

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