Discovery Minerals Ltd (DSCR) Announces Exchange of $205,000 in Affiliate Debt for Convertible Preferred Stock
Reno, NV (eTeligis via ACCESSWIRE) 7/31/2013 7:10:00 AM - Discovery Minerals Ltd. (OTC PINK: DSCR) is pleased to announce that it will be issuing Anti-Dilutive Convertible Preferred Stock to its Affiliates and Insiders in exchange for $205,000 in debt. The exchange effectively eliminates half of the debt from the balance sheet in Discovery Minerals.
Russell Smith, CEO of Discovery Minerals states "Eliminating Management and Insider Debt is a huge step in advancing our ongoing negotiations to bring down our non-affiliate debt. Our priorities have always been to engage an auditing firm to commence with our audit, to complete an acquisition, that can add value on our balance sheet, and to bring our debt to equity ratio down. We are meeting those objectives, and understand that if we are to become an OTCQB company, as is our plan, through a Registration Statement, we cannot have an unmanageable debt to equity ratio. Additionally in the near future, Discovery Minerals Ltd will be issuing the same convertible preferred securities to confirmed stockholders as a compliment to the common they already own, to protect the integrity of the investments. Once we have signed off on the Novation Agreements for the Affiliates, we will provide updates to stockholders on the record date for the issuance of those securities."
About Discovery Minerals Ltd.:
Discovery Minerals Ltd. (Frankfurt WKN: A0LB3X) (Kurzel: D7Z) (OTC Pinksheets: DSCR) is a production stage company formed to acquire and develop natural resource properties. Activities include gold, precious metals and minerals, including rare earth minerals production and sales. The Company initiated a new program to evaluate undervalued assets, including clean tech and alternative energy investments, for potential addition to its portfolio.
Safe Harbor: This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approval for anticipated actions.