Business
Western Star Resources Announces Issuance of Shares for Debt
VANCOUVER, British Columbia, Feb. 03, 2025 (GLOBE NEWSWIRE) -- Western Star Resources Inc. (CSE:WSR) (“Western Star” or the “Company”) has agreed to settle outs
About this update from Western Star Resources, Inc.
[{"type":"text","content":" VANCOUVER, British Columbia, Feb. 03, 2025 (GLOBE NEWSWIRE) -- Western Star Resources Inc. (CSE:WSR) (“Western Star” or the “Company”) has agreed to settle outstanding debt in the amount of CDN$209,400 (the “Debt”) owing to certain officers and directors of the company by issuing an aggregate of 1,745,000 common shares in the capital of the Company (the “Common Shares”) at a price of $0.12 per Common Share (the “Shares for Debt Transaction”). The Board of Directors has determined it is in the best interests of the Company to settle the outstanding Debt by the issuance of the Common Shares in order to preserve the Company’s cash for ongoing operations. Accordingly, the portion of the debt settlement with the insiders constitutes a related-party transaction within the meaning of Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). The issuance of the shares to the insiders is exempt from the valuation requirement of MI 61-101 by virtue of the exemption contained in Section 5.5(b) as the company’s shares are not listed on a specified market and from the minority shareholder approval requirements of MI 61-101 by virtue of the exemption contained in Section 5.7(1)(a) as the value of the shares being issued under the debt settlement does not exceed 25 per cent of the company’s market capitalization. All securities issued in connection with the debt settlement will be subject to a statutory hold period expiring four months and one day after the date of issuance, as set out in National Instrument 45-102 (Resale of Securities). Additional Information Additional information about the Company and the Transaction is available on SEDAR at www.sedar.com under the Company’s profile. The summary of the Transaction set out above is qualified in its entirety by reference to the description of the Transaction in the Company’s filing statement posted on SEDAR. “Western Star Resources is a mineral exploration and development company. The company’s objective is to increase shareholder value through the development of exploration properties using cost-effective exploration practices, acquiring further exploration properties, and seeking partnerships by either joint venture or sale with industry leaders. The company currently owns nine non-surveyed contiguous mineral claims totalling 2,797 hectare...