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Nio Strategic Metals Announces the Extension of its $500,000 Loan Agreement
(TheNewswire) Montreal, Quebec – TheNewswire - April 26, 2024 – N...
About this update from Nio Strategic Metals Inc
[{"type":"text","content":"Nio Strategic Metals Announces the Extension of its $500,000 Loan Agreement\n \n \n (TheNewswire)\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n Montreal, Quebec –\n \n \n TheNewswire -\n \n \n April 26, 2024\n \n \n –\nNio Strategic Metals Inc. (TSXV:NIO) (OTC:NIOCF) (“\n \n \n Nio\n \n \n ” or the\n“\n \n \n Company\n \n \n ”) announces that it has amended its $500,000 unsecured\nloan agreement with Nio-Metals Holdings LLC (“Nio-Metals”) dated\nMarch 17, 2021 (the “Amended Loan Agreement”) to extend the\nmaturity date to April 30, 2025, subject to no other condition.\nFollowing the cash reimbursement of $50,000, the Amended Loan\nAgreement has been reduced to $450,000. Except for the maturity date\nand the principal amount, the other material terms and conditions of\nthe Amended Loan Agreement have remained the same.\n \n \n \n \n Related Party Disclosure\n \n \n \n \n Pursuant to Multilateral Instrument 61-101 --\n \n \n Protection of Minority\nSecurity Holders in Special Transactions\n \n \n (\"MI 61-101\"), the Amended Loan Agreement constitutes a\n\"related party transaction\" as Nio-Metals (the “Related\nParty”) currently holds 45.9% of the issued and outstanding common\nshares of the Company.\n \n \n \n \n The Company has relied on the exemptions from the\nvaluation and minority shareholder approval requirements of MI 61-101\ncontained in sections 5.5(a) and 5.7(1)(f) of MI 61-101 on the basis\nthat the transactions did not exceed 25% of the fair market value of\nthe Company’s market capitalization and the Loans are on reasonable\ncommercial terms that are not less advantageous to the Company than if\nthe Loans were obtained from a person dealing at arm’s length with\nthe Company.\n \n \n \n \n Moreover, the Related Party, to the extent that it\nholds Nio common shares and that its Amended Loan Agreement is not\nconvertible, will experience the same effects as other Nio\nshareholders as a result of the Amended Loan Agreement.\n \n \n \n \n The Company did not file a material change report more\nthan 21 days before entering into the Amended Loan Agreement as the\nterms of the Amended Loan Agreement were not settled until shortly\nprior to execution and the Company and the parties wished to close the\nAmended Loan Agreement...