TVI Pacific Inc. Announces Financing Opportunity and Proposed Third-Party Investment in TVI International Marketing Ltd.

About this update from Tvi Pacific Inc.

[{"type":"text","content":"\n\n\nTSX: TVI  OTCQX: TVIPF\n\n\nCALGARY, Oct. 21, 2013 /CNW/ - TVI Pacific Inc. (TSX:TVI) (OTCQX:TVIPF)\n (\"TVI\" or the \"Company\") announced today that it has entered into a letter of interest (the \"Proposal\"), dated October 18th, 2013, which sets out certain terms of proposed transactions involving\n Prime Asset Ventures, Inc., an arm's-length Philippines corporation (\"PAVI\").  The proposed transactions contemplated by the Proposal consist of a\n private placement (to PAVI) of common shares of the Company (the\n \"Private Placement\") and the acquisition by PAVI of an effective 68.42%\n interest in the Company's indirect subsidiary, TVI International\n Marketing, Ltd. (\"TVI Marketing\"), through which TVI's Philippines assets are held.\n\n\nProposed Private Placement\n\n\nThe Proposal contemplates that PAVI will directly subscribe for and\n purchase 33,333,333 common shares of TVI (the \"TVI Pacific Shares\") at a price of USD $0.03 per share (USD $1 million in the aggregate). \n If the Private Placement is completed, the TVI Pacific Shares would\n represent approximately 5% of the total number of issued and\n outstanding common shares of TVI (based upon 622,137,039 common shares\n currently outstanding and assuming there are no further issuances of\n shares from the treasury of the Company prior to closing of the Private\n Placement).  The net proceeds from the sale of the TVI Pacific Shares\n are expected to be used by TVI primarily for working capital.\n\n\nProposed Acquisition of an Effective 68.42% Interest in TVI Marketing\n\n\nThe Proposal also contemplates the acquisition by PAVI of 68.42% of\n ordinary voting shares of TVI Marketing (\"TVI Marketing Shares\"),\n representing an effective 68.42% interest in TVI Marketing's assets,\n business and operations in the Philippines, through: (а) the issuance\n of TVI Marketing Shares to PAVI for a total investment of USD $11.5\n million; and (b) а secondary sale by TVI Limited, a wholly-owned\n subsidiary of TVI, of outstanding TVI Marketing Shares to PAVI at a\n sale price of USD $10 million.  The funds received from the issuance of\n TVI Marketing Shares to PAVI are expected to be used for working\n capital and to advance various projects, including, most notably, the\n Agata direct shipping ore project, located in ...

More updates from Tvi Pacific Inc.