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Prospera Energy Inc. Announces Private Placement Financing
Not For Distribution to U.S. News Wire Services or For Dissemination in The United States ...
About this update from Prospera Energy Inc.
[{"type":"text","content":"Prospera Energy Inc. Announces Private Placement FinancingNot For Distribution to U.S. News Wire Services or For Dissemination in The United StatesCALGARY, AB / ACCESSWIRE / November 29, 2021 / Prospera Energy Inc. (TSXV:PEI)(FRA:OF6B):Prospera Energy Inc. (\"Prospera\" or the \"Corporation\") intends to raise up to $3,000,000 by way of non-brokered private placement. A total of up to $2,000,000 will be raised by offering 8% convertible debentures with the principal amount convertible at $0.05 in the first year and $0.10 in the second year. Applicable interest will be payable in cash or shares at the option of the Corporation.Debenture Term sheetIssuer:Prospera Energy Inc. (the Corporation).Issue:Debentures with a 2-year term, secured.Conversion Price:$0.05 in year one and $0.10 in year two - convertible into units consisting of one common share and one warrant exercisable into another common share at $0.075 for a period of two years from initial closing. The Corporation reserves the right to force conversion in the event that the shares of the Corporation trade at $0.30 for a period of ten(10) days or more.Offering Amount:Up to $2,000,000 (the Offering).Underlying Shares:Common shares of the Corporation to be listed on the TSXV Exchange under the symbol PEI (the Common Shares).Use of Proceeds:The Corporation intends to use the net proceeds of the Offering for working capital.Interest:The principal amount bears interest at an annual rate of 8.00% per annum, compounded quarterly and accrued until Maturity Date, conversion or payment whichever first occurs. Interest may be paid in cash or in shares at the then market price, at the Corporation's discretion.Dividend Adjustmentand Anti-Dilution:The conversion price and warrants will also be subject to standard anti-dilution adjustments upon, inter alia, share consolidations, share splits, spin-off events, rights issues, and reorganizations.Offering Basis:Non-brokered private placement offering.Finders FeesThe Corporation may pay qualified finders a fee of 6% cash and 6% warrants.In addition, the Corporation intends to raise up to $1,000,000 by offering units of the Corporation at a price of $0.06 per unit. Each unit is composed of one flow through share of the Corporation and one share purchase warrant. Each warrant will entitle the holder to acquire one additional share in the capit...