Business
Resin Systems Completes $10 Million Financing
CALGARY, Dec. 16 /CNW/ - Resin Systems Inc. ("RS"), (RS - TSX), today announced the closing of it...
About this update from Real Estate Split Corp Class A
[{"type":"text","content":"\n\n\n\nCALGARY, Dec. 16 /CNW/ - Resin Systems Inc. ("RS"), (RS - TSX), today\nannounced the closing of its previously announced private placement. At\nclosing, a total of 10,000 units of RS were issued at a price of $1,000 per\nunit for total gross proceeds of $10 million (the "Offering"). Each unit of RS\nconsisted of a $1,000 principal amount of 15 percent secured redeemable\nsubordinated convertible debenture (the "Debenture") and 4,000 common share\npurchase warrants, each whole warrant entitling the holder thereof to acquire\none (1) common share of RS at a price of $0.18 per share until December 16,\n2013. The securities of RS issued pursuant to the Offering are subject to a\nhold period until April 17, 2009. All of the eligible members of the Board of\nDirectors of RS and certain officers of RS subscribed for an aggregate of\n$2.77 million of units pursuant to the Offering, including Wilmot Matthews,\nthe chairman of RS, and Paul Giannelia, the president and chief executive\nofficer of RS, who each subscribed for $1.0 million of units.\n\n\nRS intends to use the proceeds of the Offering for working capital and\nfor general corporate purposes.\n\n\nThe Debentures will be due and payable on December 17, 2013 and accrue\ninterest at 15 percent per annum payable annually (each an "Interest Payment\nDate") starting November 30, 2009. RS will have the option, subject to\nregulatory approval, to elect to satisfy its obligation to pay such interest\nby issuing and delivering that number of freely tradeable common shares\nobtained by dividing the amount of interest by 85 percent of the volume\nweighted average trading price of the common shares on the Toronto Stock\nExchange ("TSX") for the five consecutive trading days ending five trading\ndays immediately preceding the Interest Payment Date.\n\n\nThe Debentures will be secured by a charge on all of the assets of RS,\nincluding all of RS's intellectual property.\n\n\nThe Debentures are convertible into freely tradeable common shares of RS\nat the option of the holder, in whole or, from time to time, in part, at any\ntime after December 16, 2010 and prior to the close of business on the earlier\nof maturity and the business day immediately preceding the date specified by\nRS for redemption of the Debentures. The principal amount o...