Business
New Break Resources Reprices Warrants and Announces Warrant Exercise Incentive Program
Toronto, Ontario--(Newsfile Corp. - June 8, 2023) - New Break Resources Ltd. (CSE: NBRK) ("New Break" or the "Company") announces the repricing of 1,730,000 com
About this update from New Break Resources Ltd.
[{"type":"text","content":" Toronto, Ontario--(Newsfile Corp. - June 8, 2023) - New Break Resources Ltd. (CSE: NBRK) (\"New Break\" or the \"Company\") announces the repricing of 1,730,000 common share purchase warrants with an exercise price of $0.20 and an expiry date of June 23, 2023 (the \"Repriced Warrants\"), to $0.15, effective immediately (the \"Warrant Repricing\"). Following the Warrant Repricing, the Company will have an aggregate of 6,274,200 outstanding warrants, having an exercise price of $0.15 and an expiry date of June 23, 2023 (collectively, the \"Subject Warrants\"). The Company's management considers the Warrant Repricing to be in the best interests of the Company and its shareholders and aligns the exercise price of all warrants having an expiry date of June 23, 2023, which expiry date is not being extended. Under the policies of the Canadian Securities Exchange (\"CSE\"), the proposed Warrant Repricing is subject to the unanimous consent of the registered holders of the outstanding Repriced Warrants. The Company confirms that it has received written consent from all holders of Repriced Warrants having an exercise price of $0.20, consenting to the repricing of the Repriced Warrants. In addition, the Company has established an exercise incentive program (the \"Incentive Program\") with respect to all of the 6,274,200 Subject Warrants. Under the Incentive Program, each holder of a Subject Warrant who exercises part or all of their Subject Warrants between the date hereof and June 23, 2023, will be granted one common share purchase warrant (each an \"Incentive Warrant\") for each exercised Subject Warrant. Each Incentive Warrant will entitle the holder thereof to acquire one common share (an \"Incentive Warrant Share\") of the Company at a price of $0.20 per common share for a period of thee (3) years from the date of issuance. The Incentive Warrant will be subject to an acceleration clause, whereby if the closing price of the common shares of the Company on the CSE is equal to $0.40 or higher for five non-consecutive trading days, over a 365-day period, the Company may accelerate the expiry of the Warrants to the date that is 20 business days from the date of the issuance of a news release by the Company announcing the exercise of the acceleration right. Warrant Holders who wish to participate in the Incentive Program wil...