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Orbite Announces Partial Exercise of Underwriter's Option for $1M
Orbite Announces Partial Exercise of Underwriter's Option for $1M.
About this update from Orbite Technologies Inc
[{"type":"text","content":"\n\n\n\n\nMarketwire\n\n\n\n\nOrbite Announces Partial Exercise of Underwriter's Option for $1M\n\n\n\n\n\n\n\n\n\n MONTREAL, QUÉBEC--(Marketwired - Feb. 23, 2016) - \n NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES\n Orbite Technologies Inc. (TSX:ORT)(OTCQX:EORBF) (\"Orbite\" or the \"Company\") today announces that, further to its press release of February 3, 2016 announcing the closing of its public offering of units in the amount of $8,482,000, Euro Pacific Canada Inc., the sole underwriter of the public offering, has exercised a portion of its underwriter's option to purchase an additional 1,060 units for gross proceeds of $1,060,000, which units were issued today. The underwriter has until March 4, 2016 to exercise the balance of its underwriter's option.\n \n The additional units have the same terms and conditions as those issued in the first portion of the public offering, as each additional unit consists of $1,000 principal amount of convertible unsecured unsubordinated debentures (the \"Debentures\") and 2,500 share purchase warrants (each a \"Warrant\") of the Company. The Debentures will mature on February 3, 2021 (the \"Maturity Date\") and will bear interest at a rate of 5% per annum payable semi-annually.\n \n Each Debenture will be convertible, at the option of the holder, at any time prior to the Maturity Date, into that number of shares computed on the basis of (i) the principal amount of the Debentures divided by the conversion price of $0.40 per share (the \"Conversion Price\"), and (ii) an amount equal to the additional interest amount that such holder would have received if it had held the Debenture from the date of conversion until the Maturity Date (the \"Make-Whole Amount\") divided by the five (5) day volume weighted average trading price of the shares on the TSX two (2) days prior to conversion (the \"Current Market Price\"). The Make-Whole Amount shall be reduced by 1% for each 1% that the Current Market Price at time of conversion exceeds the Conversion Price. Each Warrant will be exercisable into one share for a period of 36 months from their issue date at a price of $0.40 per share.\n \n The aggregate number of shares to be issued upon conversion of the Debentures and for any payment of the Make-Whole Amount shall not exceed the number...