Cascadero Obtains Loan from and Issues Bonus Warrant to Related Party
July 7, 2020 (CCD: TSX-V)
CASCADERO OBTAINS LOAN FROM AND
ISSUES BONUS WARRANT TO RELATED PARTY
Vancouver, BC, Canada, July 7, 2020 – Cascadero Copper Corporation ("Cascadero") is
pleased to announce that it has obtained a loan of $200,000 (the “Loan”) from Mr. Lorne
Harder, Chief Financial Officer, Corporate Secretary and a Director of Cascadero, through
his wholly-owned company, Springhill Investments Ltd. (“Springhill”). The Loan is non -
interest bearing, is payable at the end of one year , may be repaid at any time without
penalty and is unsecured. Cascadero expects to use the Loan proceeds to primarily pay
its arm’s length creditors and for general working capital.
As a condition of the Loan, Cascadero will, subject to TSX Venture Exchange acceptance,
issue to Springhill 8,000,000 warrants, each warrant is exercisable for one common share
of Cascadero at an exercise price of $0.02 5 per common share (the “Bonus Warrants”).
The Bonus Warrants will expire one year from issuance. The Bonus Warrants will be
subject to a hold period of four months and a day from the date of issuance. The issuance
of the Bonus Warrants will be exempt from prospectus requirements based on the
exemption set out under Section 2.5 of National Instrument 45 -106 – Prospectus
Exemptions as Mr. Harder is a director and executive officer of Cascadero.
Due to Mr. Harder’s relationship with Cascadero, the Loan transaction is deemed a
related party transaction under Multilateral Instrument 61 -101 – Protection of Minority
Security Holders in Special Transactions (“MI 61 -101”). The Loan is exempt from
requiring a formal valuation and minority approval in accordance with, respectively,
sections 5.5(b) and 5.7(a) as Cascadero is listed on the TSX Venture Exchange and the
fair market value of the Loan transaction does not exceed 25% of Cascadero’s market
capitalization. There is less than 21 days between the Loan and the filing date of the
related material change report due to Cascadero’s need for the Loan proceeds to pay
creditors.
For more information, contact:
Mr. Christopher Ecclestone
President/CEO
Phone: (604) 985-3327
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
Forward-Looking Statements
This news release contains forward -looking statements and information that are based on the
beliefs of management and reflect Cascadero’s current expectations. When us ed in this news
release, the words “estimate”, “project”, “belief”, “anticipate”, “intend”, “expect”, “plan”, “predict”,
“may” or “should” and the negative of these words or such variations thereon or comparable
terminology are intended to identify forward -looking statements and information. The forward -
looking statements and information in this news release includes information relating to the use
of the Loan proceeds and the issuance of the Bonus Warrants. The forward -looking information
is based on certain assumptions, which could change materially in the future. Such statements
and information reflect the current view of Cascadero with respect to risks and uncertainties that
may cause actual results to differ materially from those contemplated in thos e forward-looking
statements and information. By their nature, forward -looking statements involve known and
unknown risks, uncertainties and other factors which may cause Cascadero’s actual results,
performance or achievements, or other future events, to be materially different from any future
results, performance or achievements expressed or implied by such forward-looking statements.
Such factors include, among others, the risk that Cascadero is unable to obtain the Loan
proceeds, use of the Loan procee ds will not be as expected, the Bonus Warrants may not be
issued or on different terms. When relying on Cascadero’s forward -looking statements and
information to make decisions, investors and others should carefully consider the foregoing
factors and othe r uncertainties and potential events. Cascadero has assumed a certain
progression, which may not be realized. It has also assumed that the material factors referred to
above will not cause such forward -looking statements and information to differ materia lly from
actual results or events. However, the list of these factors is not exhaustive and is subject to
change and there can be no assurance that such assumptions will reflect the actual outcome of
such items or factors.
THE FORWARD -LOOKING INFORMATION CONTAINED IN THIS NEWS RELEASE
REPRESENTS THE EXPECTATIONS OF CASCADERO AS OF THE DATE OF THIS NEWS
RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS
SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD-LOOKING INFORMATION AND
SHOULD NOT REL Y UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE
CASCADERO MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION
AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE
LAWS.