Business
Xplore Resources Announces Proposed Share Consolidation and CDN$40,000 Bridge Loan
Vancouver, British Columbia--(Newsfile Corp. - September 18, 2023) - Xplore Resources Corp . (T...
About this update from Xplore Resources Corp.
[{"type":"text","content":"Xplore Resources Announces Proposed Share Consolidation and CDN$40,000 Bridge LoanVancouver, British Columbia--(Newsfile Corp. - September 18, 2023) - Xplore Resources Corp. (TSXV: XPLR) (\"Xplore\" or the \"Company\") announces that the Board of Directors of the Company has recommended and authorized a consolidation of the Company's outstanding common shares on the basis of two and one-half (2.5) pre-consolidation common shares for one (1) post-consolidation common share (the \"Consolidation\"). The Consolidation remains subject to TSX Venture Exchange approval. The effective date and further details of the Consolidation will be disclosed in a subsequent news release following receipt of all requisite approvals.The Company also announces that it has entered into a bridge loan agreement with 1077712 BC Ltd. (the \"Lender\") dated September 18, 2023 (the \"Loan Agreement\") to obtain a bridge loan in the principal amount of C$40,000 (the \"Loan\"). Xplore will use the proceeds of the Loan for business and commercial uses.The Loan will bear interest at a rate of 10% per annum, accruing daily on each amount of the Loan advanced from the date of the advance and compounding monthly. Unless accelerated pursuant to the terms of the Loan Agreement, the Loan will become due on the earlier of the day (i) that is six months from September 18, 2023, and (ii) that Xplore closes a financing of any kind or nature resulting in gross proceeds equal to or greater than CDN$1,000,000. Xplore may prepay the Loan in full, together with all accrued and unpaid interest, at any time upon five business days' written notice to the Lender.Under the terms of the Loan Agreement, the Issuer intends to issue to or as directed by the Lender 800,000 warrants (the \"Warrants\"), which qualify as a Loan Bonus pursuant to section 2 of Policy 5.1. Each Warrant entitles the holder to subscribe for and purchase one common share (a \"Common Share\") in the capital of the Issuer at a purchase price of C$0.05 per Common Share for a period of one year following the date of issuance. The price of the warrant has been calculated pursuant to the \"Market Price\" calculation as defined under Exchange Policy 1.1 Interpretation. Each Warrant is non-assignable and non-transferable and is subject to the applicable regulatory hold period. In the event that the Warrants are not app...