Nicola Mining Announces Amendments to Secured Convertible Debentures and Warrants, Issuance of Shares in Settlement of Interest Owing on Convertible Debentures, and Extension of Expiry
TSX.V: N NIM
COLA MINING ANNOUNCES AM NIC MENDMENT TS TO SECURED CON NVERTIBLE E DEB BENTURES S AND WAR RRANTS, IS SSUANCE O OF SHARES S IN SETTLEMENT OF F URES, AND EXTENSIO INTER REST OWIN NG ON CON NVERTIBLE E DEBENTU ON OF EXPI IRY DATE FOR WA ARRANTS I ISSUED ON N NOVEMB BER 23, 2015
VANCO
OUVER, B.C., November 27, 2017 – Nicola Min ning Inc. (th he “Compan ny”) is pleas sed to announce that, further to its New ws Releases o of Novembe er 14, 2017, it t has receive ed approval from the TSX Venture E Exchange (th he “Exchan nge”) to: (i)
) certain am mendments to the sec cured convertib ble debentur res (each, a “Debenture e”) in the ag ggregate pri incipal amou unt of $7,00 00,882 sued on November 21, 2014, and 7,000 0,882 warran nts (each, a “Warrant”) that were o originally iss
(ii) the i issuance of 4,941,799 co ommon sha ares (each, a a “Share”) i in settlemen nt of $840,1 105.84 interest o owing on th he Debentur res (the “Debt Settlem ment”) and (
(iii) the exte ension of ce ertain warrants s (the “Nove
ember Warra
ants”) expiri ing on Nove ember 23, 2017 (the “Ext tension”).
The matu urity date of f the Debent tures has be een extended d from Nove ember 21, 20 017 to November 21, 2019 and the con nversion pr rice of the D Debentures w was amended from $0.
.275 to $0.22 2 per Share. A All other term ms of the Deb bentures rem main the sam me.
The expi iry date of the Warrants s issued in c connection w with the De ebentures ha as been exte ended from No ovember 21, 2017 to No ovember 21, , 2019 and the exercise e price of th he Warrants s was amended d from $0.50 0 to $0.275, with a force ed conversio on in the ev vent that the e shares tra ade at above $0 0.34375 for at t least 10 trading days. A All other term ms of the W Warrants rema ain the same e.
On Nove ember 23, 20 017, the Com mpany issued 4,941,799 Shares purs suant to the Debt Settlem ment. The Shar res are subje ect to a statu utory hold p period expiri ing on the d date that is f four months s and one day a after the clos sing of the D Debt Settlem ment.
Pursuant t to the Extension, the ex xpiry date o of 18,689,625 November Warrants ha as been exte ended from Nov vember 23, 2 2017 until December 31, 2017. The e exercise pric ce of the Nov vember War rrants remains t the same at $0.15. All ot ther terms o of the Novem mber Warran nts remain th he same.
Insiders of the Com mpany were issued an a aggregate of f 4,450,589 S Shares pursu uant to the Debt Settlemen nt, which co onstitutes a “related par rty transacti ion” within the meanin ng of Multila ateral Instrume ent 61-101 P Protection of Minority Sec curity Holde ers in Special l Transaction ns (“MI 61-1 101”). The issua ance to insid ders is exem mpt from the valuation re equirement of MI 61-101 1 by virtue o of the exemptio on contained d in section n 5.5(b) as th he Company ny’s shares a are not liste ed on a spec cified market a and from the e minority sh hareholder a approval req quirements o of MI 61-101 1 by virtue o of the exemptio on contained in section n 5.7(a) of MI 61-101 in that the e fair mark ket value o of the considera ation of the Shares issue ed to the rel lated parties s does not ex xceed 25% o of the Company’s market capitalization
n. The Comp pany closed on the paym ment of the I Interest in Sh hares in less s than 21 days a as the payme ent of Intere est is due pur rsuant to the e terms of th he Debenture es.
On behalf of the Board of Directors
“Peter Espig”
Peter Espig CEO & Director
For additional information contact:
Peter Espig Telephone: (604) 647-0142 Email: [email protected]
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.