Business
Search Minerals Announces Shares-for-Debt Transaction
St. Lewis, Newfoundland and Labrador--(Newsfile Corp. - December 3, 2025) - Search Minerals Inc. ...
About this update from Search Minerals Inc.
[{"type":"text","content":"Search Minerals Announces Shares-for-Debt TransactionSt. Lewis, Newfoundland and Labrador--(Newsfile Corp. - December 3, 2025) - Search Minerals Inc. (TSXV: SMY) (\"Search Minerals\" or the \"Company\") is pleased to announce that it has entered into a transaction with LeadFX Inc. to settle an aggregate of $404,053.73 of outstanding indebtedness (the \"Debt\") through the issuance of 808,107 common shares of the Company (the \"Shares\") at a deemed price of $0.50 per Share (the \"Shares-for-Debt Transaction\"). The Company had previously announced that it would convert the debt into a fixed term unsecured convertible loan by LeadFX to the Company but it has now been determined to complete the Shares for Debt Transaction to eliminate the debt instead.The Shares-for-Debt Transaction is being undertaken by the Company in order to preserve cash and strengthen its balance sheet. The Shares issued pursuant to the Shares-for-Debt Transaction will be subject to a statutory hold period of four months and one day from the date of issuance in accordance with applicable securities laws and TSX Venture Exchange (\"TSXV\") policies. Insider Participation LeadFX Inc. is a related party of the Company. Accordingly, the issuance of Shares to LeadFX Inc. constitutes a \"related party transaction\" under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\").The Company is relying on the exemptions from the formal valuation requirement under section 5.5(b) of MI 61-101 and the minority shareholder approval requirement under section 5.7(a) of MI 61-101, as the fair market value of the Shares to be issued to the related party does not exceed 25% of the Company's market capitalization.No new control person will be created as a result of the Shares-for-Debt Transaction.TSXV ApprovalCompletion of the Shares-for-Debt Transaction remains subject to the approval of the TSXV.For further information about Search Minerals, please contact:Joseph LanzonCEO and DirectorTelephone: 613-796-5957Email: [email protected] About Search MineralsSearch Minerals is focused on exploring for and developing Critical Rare Earths Elements (CREE) as well as transition metals Zirconium (Zr) and Hafnium (Hf) within the emerging Port Hope Simpson - St. Lewis CREE District of South-East Labrador. The Comp...