Business
St. Augustine Announces a Debt Conversion of $3.2 Million
Singapore--(Newsfile Corp. - March 30, 2021) - St. Augustine Gold and Copper Limited (TSX: SAU...
About this update from St. Augustine Gold & Copper Ltd.
[{"type":"text","content":"St. Augustine Announces a Debt Conversion of $3.2 MillionSingapore--(Newsfile Corp. - March 30, 2021) - St. Augustine Gold and Copper Limited (TSX: SAU) (\"St. Augustine\" or the \"Company\") is pleased to announce that it has entered into an agreement with its creditor and major shareholder Queensberry Mining and Development Corp. (\"Queensberry\"), whereby the Company agreed to convert approximately CAD$3,232,167.25 of the amount owing to Queensberry into 70,176,859 common shares of the Company (\"Common Shares\") at a deemed price of CAD$0.046057 per Common Share (the \"Debt Conversion\"). Following completion of the Debt Conversion, Queensberry will hold 288,676,859 Common Shares, representing approximately 36% of the issued and outstanding Common Shares. Shares issued pursuant to this Debt Conversion are subject to trading restrictions until July 25, 2021.The Debt Conversion is a \"related party transaction\" for the purposes of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"). The Company is relying on an exemption from the minority approval and formal valuation requirements of MI 61-101 due to the fact that the value of the transaction does not represent greater than 25% of the market capitalization of the Company. The Company has not filed a material change report 21 days prior to the closing of the Debt Conversion as no agreement to that effect was in place at that time. About St. AugustineSt. Augustine (TSX: SAU) is a TSX-listed mining company focused on the development of the King-king Copper-Gold Project. The Project is one of the largest undeveloped copper-gold deposits in the world and is listed as a top three-priority mining project by the Philippine government. CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTSThis announcement includes certain \"forward-looking statements\" within the meaning of Canadian securities legislation. All statements, other than statements of historical fact included herein are forward looking statements. Forward-looking statements involve various risks and uncertainties and are based on certain factors and assumptions. While we consider these assumptions to be reasonable based on currently available information, they may prove to be incorrect. There can be no assurance that such statements will prove to be accurate, and ac...