Business
Newlox Gold Announces Restart of Trading on CSE Exchange & Reduction of Debt
Vancouver, British Columbia – April 15th, 2025 – TheNewswire - NEWLOX GOLD VENTUIRES CORP. (“Newlox” or the “Company”) is pleased to announce the restart of tra
About this update from Newlox Gold Ventures Corp.
[{"type":"text","content":"Vancouver, British Columbia – April 15th, 2025 – TheNewswire - NEWLOX GOLD VENTUIRES CORP. (“Newlox” or the “Company”) is pleased to announce the restart of trading of its common shares on the Canadian Securities Exchange as of April 16, 2025. The Company also announces that it has issued 15,144,293 Common Shares of the Company to various debenture holders per the contractual terms of convertible debentures issued in December of 2020 resulting in the removal of $2,271,646.99 of debt from the Company’s balance sheet. The significant reduction in outstanding debt will result in a decrease in interest costs for the Company of nearly $211,000 per year. The matured debentures dated December 18, 2020 and December 31, 2020 were issued with a set conversion price of $0.15 per share and an interest rate of 10% per annum. The debentures were set to be convertible at the option of the holder at any time during the term of the debenture until the day before maturity, at which time principal and accrued interest were payable in cash or shares, at the conversion price, at the option of the Company. At the original contractual maturity date of the debentures, the remaining debt not voluntarily converted to shares by the holders was set to convert at the set price of $0.15 per share. By that time market conditions had significantly deteriorated compared to the highs of 2021, when the Company’s share price reached a peak of $0.61 on July 14th, 2021, and the share price was now below the set conversion price of $0.15 per share. Management felt that, in consideration of the support of long-term debenture holders had for Newlox Gold, the Company would offer a voluntary extension of the term of the debenture to the holders to allow them to continue to collect interest and select an opportune time for conversion to equity. This offer was extended again in 2023. Although this offer did result in higher interest costs for the Company, it was designed to provide the Company’s strong supporters with the kindest possible treatment, given the significant reduction in share price during the term of the debentures. Management is pleased to have completed the protracted process of restoring liquidity for shareholders through the establishment of trading on the CSE. The removal of the Cease Trade Order also allows the Company to conduct regular business transa...