Business
Mountain Province Diamonds Announces a Special Meeting of Shareholders to Seek Approval for Proposed Financing Solutions
Mountain Province Diamonds Announces a Special Meeting of Shareholders to Seek Approval fo...
About this update from Mountain Province Diamonds Inc.
[{"type":"text","content":"\n\n\n\nMountain Province Diamonds Announces a Special Meeting of Shareholders to Seek Approval for Proposed Financing Solutions\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.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nTORONTO and NEW YORK, Aug. 18, 2020\n\n\n\nTSX and OTCQX: MPVD\n TORONTO and NEW YORK, Aug. 18, 2020 /CNW/ - Mountain Province Diamonds Inc. (\"Mountain Province\" or the \"Company\") (TSX: MPVD) (OTCQX: MPVD) today announces that it intends to hold a special meeting of shareholders (the \"Special Meeting\") on September 29, 2020. The record date for shareholders entitled to receive notice and vote at the Special Meeting has been set as August 26, 2020.  \n\n \n \n \n \n \n \n\n \nThe Special Meeting is being called to enable the Company's shareholders to approve two related party transactions that will significantly strengthen the Company's financial position as it responds to the challenges posed by the COVID-19 pandemic.  An information circular with detailed information about the Special Meeting will be mailed to shareholders. \nAt the Special Meeting, the Company will seek approval for the assignment (the \"Assignment\") from the existing lenders to Dermot Desmond, or a related company, of the Company's indebtedness of US$25,000,000 under its senior secured revolving credit facility (the \"Existing Credit Facility\"). \nIn connection with the Assignment, certain amendments will be made to the Existing Credit Facility, including, among other things, adjusting the interest rate to a fixed 5% per annum, payable monthly, and removing certain financial maintenance covenants under a one-year term.  The effect of the Assignment is that Mr. Desmond will provide a refinancing and extension of the existing US$25,000,000 credit facility. \nThe Company will also seek approval at the Special Meeting for an increase from US$50,000,000 to US$100,000,000 in the sales capacity under the previously announced diamond sales agreement between the Company, certain of its subsidiaries and Dunebridge Worldwide Ltd. (the \"Sales Capacity Increase\").&...