MONTREAL, May 15, 2019 /CNW Telbec/ - SRG Graphite
Inc. (TSXV: SRG) ("SRG" or the "Company) is
pleased to announce that it has filed an application with the
TSX-Venture Exchange ("TSXV") of its intention to re-price
and extend the expiry date of the Warrant Indenture dated
May 18, 2018 made between the Company
and Computershare Trust Company of Canada (the "Warrant
Agent"). These adjustments have been incorporated into
the terms of a Supplemental Warrant Indenture dated May 15, 2019 and will become effective
May 17, 2019 between the Company and
the Warrant Agent amending the Warrant Indenture.
A total of 6,134,100 share purchase warrants (the
"Warrant") were issued by the Company under the Warrant
Indenture pursuant to a Prospectus offering announced on
May 1, 2018. Each Warrant
entitled the holder to purchase one common share of the Company at
the price of $2.30 per common share
and are scheduled to expire on May 18,
2019. The term will be extended to 4:00 p.m. (Montreal time) on March
30, 2020. The exercise price of the Warrants will be amended
to $1.20. (the "Amended
Warrant"). The Amended Warrants will be subject to an
accelerated expiry date which will be reduced to 30 days, if, for
any ten consecutive trading days during the unexpired term of the
Amended Warrant (the "Premium Trading Days"), the closing
price of the Company's shares is $1.44, and for more certainty, the reduced
exercise period of 30 days will begin no more than 7 calendar days
after the tenth Premium Trading Day. All other terms of the Warrant
Indenture will remain unchanged. None of the Warrants are
held by insiders of the Company and under the terms of the Warrant
Indenture, the Company and Warrant Agent, without the consent of
the holders of the Warrants, may amend or supplement the Warrant
Indenture. All Warrants issued under the Warrant Indenture
remain unexercised.
As required by the TSX Venture Exchange policies, an aggregate
of 368,046 Brokers Warrants have not been amended and will be
subject to their original terms, including an expiry date of
May 18, 2019.
A notice of the Supplemental Indenture will be mailed to
Warrantholders.
Concurrent with the issuance of the Warrants pursuant to the
Warrant Indenture, 1,333,333 warrants were issued by the Company
pursuant to the closing of an equity offering announced on
May 1, 2018 (the "Equity Financing
Warrants") Each Equity Financing Warrant entitled the
holder to purchase one common share of the Company at the price of
$2.30 per common share and are
scheduled to expire on May 18, 2019.
The term will be extended to 4:00
p.m. (Montreal time) on
March 30, 2020. The exercise price of
the Equity Financing Warrants will be amended to $1.20 (the "Amended Equity Financing
Warrants"). The Amended Equity Financing Warrants will be
subject to an accelerated expiry date which will be reduced to 30
days, if, for any ten consecutive trading days during the unexpired
term of the Amended Warrant (the "Premium Trading Days"),
the closing price of the Company's is $1.44, and for more certainty, the reduced
exercise period of 30 days will begin no more than 7 calendar days
after the tenth Premium Trading Day. All other terms of
the Equity Financial Warrants will remain unchanged. The Equity
Financing Warrants are held by a more than 10% security holder of
the Company. The Company has received the consent of the holder of
Equity Financing Warrants. All Equity Financing Warrants
remain unexercised.
The proposed amendment to the Warrant Amendments and the Amended
Equity Financing Warrants are subject to the approval of the
TSXV.
ABOUT SRG
SRG is a Canadian-based company focused on developing mineral
deposits located in the Republic of Guinea, West
Africa. SRG is committed to operating in a socially,
environmentally, and ethically responsible manner.
For additional information, please visit SRG's website at
www.srggraphite.com.
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this
release.
Forward-Looking Statements
This press release contains "forward-looking information" within
the meaning of Canadian securities legislation. All information
contained herein that is not clearly historical in nature may
constitute forward-looking information. Generally, such
forward-looking information can be identified by the use of
forward-looking terminology such as "ensure", "secure",
"positioned", "demonstrate", or variations of such words and
phrases or state that certain actions, events or results "will",
"may", "could", "would" or "might". Forward-looking information is
subject to known and unknown risks, uncertainties and other factors
that may cause the actual results, level of activity, performance
or achievements of the Company to be materially different from
those expressed or implied by such forward-looking information,
including but not limited to: (i) volatile stock price; (ii) the
general global markets and economic conditions; (iii) the
possibility of write-downs and impairments; (iv) the risk
associated with exploration, development and operations of mineral
deposits; (v) the risk associated with establishing title to
mineral properties and assets; (vi) fluctuations in commodity
prices and other risks and factors described or referred to in the
section entitled "Risk Factors" in the MD&A of the Company and
which is available at www.sedar.com, all of which should be
reviewed in conjunction with the information found in this
news release
Forward-looking information is based on assumptions management
believes to be reasonable at the time such statements are made,
including but not limited to, continued exploration activities and
no material adverse change in mineral prices. Although the Company
has attempted to identify important factors that could cause actual
results to differ materially from those contained in the
forward-looking information, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can
be no assurance that such forward-looking information will prove to
be accurate, as actual results and future events could differ
materially from those anticipated in such forward-looking
information. Such forward-looking information has been provided for
the purpose of assisting investors in understanding the Company's
business, operations and exploration plans and may not be
appropriate for other purposes. Accordingly, readers should not
place undue reliance on forward-looking information.
Forward-looking information is given as of the date of this press
release, and the Company does not undertake to update such
forward-looking information except in accordance with applicable
securities laws.
SOURCE SRG Graphite
