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Satellos Bioscience Announces Upsize of Proposed Non-Brokered Offering of Unsecured Non-Convertible Debentures to up to $2.385 Million
Toronto, Ontario--(Newsfile Corp. - March 22, 2023) - Satellos Bioscience Inc. ( TSXV: MSCL ) ( O...
About this update from Satellos Bioscience Inc
[{"type":"text","content":"Satellos Bioscience Announces Upsize of Proposed Non-Brokered Offering of Unsecured Non-Convertible Debentures to up to $2.385 MillionToronto, Ontario--(Newsfile Corp. - March 22, 2023) - Satellos Bioscience Inc. (TSXV: MSCL) (OTCQB: MSCLF) (\"Satellos\" or the \"Company\"), a drug discovery company developing small molecule therapeutics to regenerate muscle as a new approach to treating disease conditions from muscular dystrophy to aging, previously announced on March 15, 2023 a proposed non-brokered private placement offering (the \"Offering\") of 10% unsecured non-convertible debenture units (the \"Units\") pursuant to which Satellos initially proposed to raise gross proceeds of up to $2,250,000. The Company has now increased the size of the Offering to $2,385,000. The Company expects to use the proceeds of the Offering for corporate and general working capital purposes.Accordingly, up to 2,385 Units may be issued pursuant to the Offering. Each Unit is comprised of: (i) $1,000 principal amount of unsecured non-convertible debentures of the Company (the \"Debentures\"); and (ii) for no additional consideration, such number of common shares in the capital of the Company (each whole common share, a \"Bonus Share\", and collectively, the \"Bonus Shares\") as is equal to $100 divided by $0.355, being the closing market price of the common shares of the Company on the TSX Venture Exchange (the \"TSXV\") on March 15, 2023. In the event that the maximum $2,385,000 amount of Debentures are issued in connection with the Offering, a maximum of 671,825 Bonus Shares will be issuable in connection with the Offering.The Debentures will mature on the date that is 18 months from the closing date (the \"Closing Date\") of the Offering (the \"Maturity Date\") and bear interest at a rate of 10% per annum payable quarterly in arrears in cash.To demonstrate continued support of the Company's growth plans, Frank Gleeson, President and CEO of Satellos (through a holding company), Geoff MacKay, the Company's Board Chair, and William Jarosz, a director of the Company, intend to participate in the Offering. Such participation is considered a related party transaction within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"). The related party transaction is exempt from minorit...