AgriMarine Recieves $1,750,000 Financing from Dundee12 February 2013
CANADA - AgriMarine Holdings has announced that Dundee Agricultural Corporation has advanced a loan in the principal amount of $1,750,000 to the Company and its wholly-owned subsidiary, AgriMarine Industries Inc.
Dundee has also advised the Company that it has secured an assignment of Industries’ existing secured debt of approximately $2,683,000 from Industries’ former secured creditor.Pursuant to the terms of the Loan, the Company has granted Dundee security over all of the Company and its subsidiaries’ assets.
The Loan will bear interest at a rate of 12.68 per cent per annum and is repayable on demand.Subject to the approval of and in accordance with the policies of the TSX Venture Exchange, Dundee may elect to convert any portion of such indebtness into common shares of the Company.
Proceeds of the Loan will be used to pay for the outstanding accounts payable, wages and for working capital purposes.In connection with the Loan, the Company is also pleased to announce that Robert Leckie, Orest Zajcew and Horst Hueniken have been appointed to the Company’s board of directors.
John Buchanan has resigned as a director of the Company but remains the CFO and Richard Buchanan and Sean Wilton will continue on the board of directors.The Company also announces that its proposed transaction with Akvatech AS, previously announced on November 20, 2012, has been terminated.
The Company also reports the grant of incentive stock options to certain of its directors to purchase up to 1,200,000 common shares in the capital stock of the Company pursuant to its share option plan. The options are exercisable at a price of $0.10 per share on or before February 7, 2018, subject to the approval of the TSX Venture Exchange.
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