Business
Progressive Planet Announces New Credit Facilities
VANCOUVER, BC / ACCESSWIRE / June 01, 2020 / Progressive Planet Solutions Inc. (TSXV:PLAN) (...
About this update from Progressive Planet Solutions Inc.
[{"type":"text","content":"Progressive Planet Announces New Credit FacilitiesVANCOUVER, BC / ACCESSWIRE / June 01, 2020 / Progressive Planet Solutions Inc. (TSXV:PLAN) (\"PLAN\" or \"Progressive Planet\"), an emerging leader in the commercialization of natural pozzolans to reduce the carbon footprint of cement production, announces that it has arranged for new credit facilities for up to an aggregate of $300,000 in principal amount from the Bank of Montreal.The facilities include a fixed rate term loan for up to $200,000 to finance the purchase of equipment to increase PLAN's capacity to produce fine rock powders (comminution) from both its own mineral assets as well as the ability to complete toll processing contracts for third parties. This loan is for a five-year term with an interest rate equal to prime plus 3%.In addition, Bank of Montreal has provided an Operating Demand Loan of up to $100,000 with an interest rate of prime plus 2.5%.Both loans have been personally guaranteed by Mr. David Richardson, the controlling shareholder of Progressive Planet. As consideration for guaranteeing the loan, PLAN intends to issue a total of 6 million non-transferable warrants to Mr. Richardson. The exercise price is set at $0.05 per warrant with 2 million warrants having a term of one year and 4 million warrants having a term of 3 years, subject to acceleration if and as any indebtedness is repaid on the fixed rate term loan, in accordance with TSXV policies. Issuance of the warrants is subject to TSXV approval.\"We wish to thank Mr. Richardson for his continued commitment to Progressive Planet. This debt financing will assist PLAN in its move towards monetizing its natural pozzolan assets from the Z-1 Quarry near Cache Creek, BC while also enabling PLAN to begin generating revenue from third party comminution toll processing. Mr. Richardson began investing in Progressive Planet in early 2018 and has remained a supporter of our vision to create pozzolan-based cementitious products,\" stated Steve Harpur, CEO.ABOUT PROGRESSIVE PLANETProgressive Planet is an emerging leader in supplying solutions for a livable planet by developing low carbon, pozzolan-based, cementing products which replace equivalent amounts of Portland Cement and fly ash in concrete. The production of Portland Cement is the second largest global generator of CO2 emissions.Progressive Planet operat...