Western Investment Company Announces Closing of Subscription Receipt Financing for Total Gross Proceeds of $4.0 Million

About this update from Western Investment Company Of Canada Limited

[{"type":"text","content":"Western Investment Company Announces Closing of Subscription Receipt Financing for Total Gross Proceeds of $4.0 MillionHigh River, Alberta--(Newsfile Corp. - April 9, 2019) - The Western Investment Company of Canada Limited (\"WICC\") (TSXV: WI) announces today the closing of its previously announced offering of subscription receipts (\"Subscription Receipts\") for the maximum aggregate gross principal amount of $4,000,000 (the \"Financing\"). The Financing consisted of a brokered portion and a non-brokered portion. AltaCorp Capital Inc. acted as lead agent and sole bookrunner for the brokered portion of the Financing. Directors, officers and other insiders subscribed for a total of 16% of the gross proceeds of the Financing.The proceeds of the Financing are expected to be used to finance WICC's previously announced acquisition of Fortress Insurance Company (the \"Acquisition\"), and general working capital purposes. Each Subscription Receipt is priced at $1,000 per subscription receipt and will entitle the holder to receive one unsecured convertible debenture (each, a \"Debenture\") with a principal value of $1,000 if all escrow conditions are met, which includes the completion of the Acquisition on or before 5:00pm MTN on July 3, 2019. Should the escrow conditions not be satisfied, the Subscription Receipts will be cancelled and all proceeds from the Financing will be returned to the subscribers, together with interest.Each Debenture will be convertible into common shares of WICC (\"Common Shares\") at a conversion price of $0.55 per share. The Debentures will mature on March 31, 2024 and bear interest at the rate of 7.5% per annum, payable semi-annually at the end of March and September. If after March 31, 2021, the closing price of the Common Shares on the TSX Venture Exchange is $0.65 or greater for 20 consecutive trading days, WICC may, at its option, force the conversion of the Debentures into Common Shares. WICC may elect, at its option, to redeem all or part of the Debentures at any time after March 31, 2021 at the redemption price set forth below plus accrued and unpaid interest, if redeemed during the calendar year upon 45 days written notice by WICC: 2021 - 107.5% 2022 - 105.0% 2023 - 102.5% 2024 - 100.0% Completion of the Financing is subject to final approval of the TSX Venture Exchange. The securities described he...

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