Business
KWG Resources Announces Proposed Private Placements of Convertible Debentures and Flow-Through Units
Toronto, Ontario--(Newsfile Corp. - December 4, 2023) - KWG Resources Inc. (CSE: CACR) (CSE: CACR.A), which carries on business as The Canadian Chrome Company (
About this update from Canadian Chrome Company Inc.
[{"type":"text","content":" Toronto, Ontario--(Newsfile Corp. - December 4, 2023) - KWG Resources Inc. (CSE: CACR) (CSE: CACR.A), which carries on business as The Canadian Chrome Company (\"CCC\", \"KWG\" or the \"Company\") (The Canadian Chrome Company is a registered business style of KWG Resources Inc.) is pleased to announce two proposed private placements - up to $2 million of Series CD-2023 Convertible Debentures (the \"Debentures\") and up to $5 million of flow-through units (the \"Flow-Through Units\"). Convertible Debentures The Debentures will be convertible into units (each a \"Unit\") with a deemed value of $3.00 per Unit (the \"Conversion Price) (i) at the holder's option at any time prior to payment in cash. The Debentures will mature on April 24, 2028 (the \"Maturity Date\") and bear interest at 5% per annum, accruing daily, compounding annually and payable on April 24 of each year and at the Maturity Date or conversion. Payments of interest may, at the Company's option, be made 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. On closing, subscribers will be paid a bonus in Units, equal to one Unit for each $12.00 of Debentures subscribed. Each Unit will be comprised of one (1) CACR.A multiple-voting share and one (1) share purchase warrant enabling its holder to acquire one further CACR.A multiple-voting share from treasury upon payment of $3.00, exercisable at any time on or before the earlier of (i) December 15, 2028 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 of the distribution of Debentures will be used to fund the Company's business focused on the acquisition of interests in, and the exploration, evaluation and development of, large-scale mineral deposits of chromite and other base metals and minerals including, without limitation, funding the Co...