Business
Nicola Mining Repays Senior Secured Debt to Waterton and Closes Tranche One of Financing
Vancouver, British Columbia--(Newsfile Corp. - November 27, 2018) - Nicola Mining Inc. (TSXV: ...
About this update from Nicola Mining Inc.
[{"type":"text","content":"Nicola Mining Repays Senior Secured Debt to Waterton and Closes Tranche One of FinancingVancouver, British Columbia--(Newsfile Corp. - November 27, 2018) - Nicola Mining Inc. (TSXV: NIM) (the \"Company\" or \"Nicola\") is pleased to announce that it has repaid its entire senior secured debt obligation and interest to Waterton Global Value, LP (\"Waterton\"). The Company paid Waterton $663,062 in principal and interest on the senior secured debt obligation, which was the final payment obligation to Waterton. Waterton has also liquidated its equity position in Nicola. On November 24, 2014, the Company announced that it had completed $7.0 MM in debt financing (the \"Debt Financing\") and implemented the announced restructuring of its debts and obligations under the Company's Plan of Compromise and Arrangement dated August 8, 2014 (the \"Plan\"). The repayment to Waterton is the final obligation under the Plan, as the Company successfully exited the Companies' Creditors Arrangement Act of Canada on, as announced on December 9, 2015. The Waterton senior secured debt facility was the Company's final obligation under the Plan and releases all security held by Waterton over the Company's assets. In addition to releasing security over all assets, Waterton releases its aggregate 2% net smelter returns royalty with respect to production from Nicola's Treasure Mountain Silver Mine. The 2% net smelter returns royalty transfers to the investors in the Debt Financing. Peter Espig, Chief Executive Officer commented, \"The final repayment of Waterton's senior secured debt facility marks one of the Company's greatest milestones since I took the helm as CEO. Management inherited a company with superior assets under great financial distress. The ability to grow and increase the value of our assets can only be achieved by a total team effort and we are grateful to our employees. We are also grateful to our investors that continue to support us and recognize the great potential of the Company. We are also fortunate that eighty five percent of the Debt Financing is held by insiders and affiliated parties that are also major shareholders.\"The Company also announces that is has closed $743,000 of the $900,000 non-brokered private placement financing (the \"First Tranche\"), announced on November 21, 2018. The private placement has been met with strong ...