RE:These Fkrs Blew it all
Warrants would not be worthless if HIP got bought out...
Starts on bottom of page 24 - Warrant Indenture document available on Sedar.
(3) (a) If, at any time prior to the Expiry Time, there occurs:
(i) a reclassification or redesignation of the Common Shares or any other capital
reorganization; or
(ii) a consolidation, merger or amalgamation of the Corporation with or into any
other corporation which results in the cancellation, reclassification or
redesignation of the Common Shares or a change or conversion of the Common
Shares into other shares or securities or the transfer of all or substantially all of
the assets of the Corporation to another corporation or entity or the Corporation
being controlled (within the meaning of the Income Tax Act (Canada)) by another
corporation or entity;
(any such event being herein called a “Capital Reorganization”), then any Holder of
Warrants, to the extent such Holder has not exercised its rights of acquisition thereunder
prior to the effective time of the Capital Reorganization, shall, upon the exercise of such
rights thereafter, shall be entitled to be issued and receive and shall accept for the same
aggregate consideration, upon such exercise, in lieu of the number of Common Shares to
which he was theretofore entitled upon exercise of his Warrants the kind and aggregate
number of shares or other securities or property of the Corporation or of the Corporation
or other entity resulting from such Capital Reorganization or any other corporation that a
Holder would have been entitled to be issued and receive upon such Capital
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Reorganization if, immediately prior to the effective time thereof, such Holder had been
the registered holder of the number of Common Shares to which he was theretofore
entitled upon exercise of his Warrants.
(b) If necessary as a result of any Capital Reorganization, appropriate adjustments shall be
made in the application of the provisions of this section with respect to the rights and
interest thereafter of the Holders to the end that the provisions set forth in this section
shall thereafter correspondingly be made applicable as nearly as may reasonably be
practicable in relation to any shares or other securities or property thereafter issuable and
deliverable upon the exercise of the Warrants. Any such adjustment shall be made by
and set forth in an agreement supplemental hereto approved by the Board of Directors
and by the Holders.
(c) The Corporation shall not complete or facilitate a Capital Reorganization if the effect of
such transaction is that:
(i) all or substantially all of the assets of the Corporation become the property of, or
are under the control of, or the Corporation is controlled (within the meaning of
the Income Tax Act (Canada)) by another person (an “Acquiring Person”); and
(ii) holders of Common Shares receive any other security in replacement of, or in
addition to, or in consideration for their Common Shares;
unless, at or prior to the effective time of such Capital Reorganization, the Acquiring
Person agrees to be bound by the terms of this Indenture by executing and delivering such
supplemental indenture, warrant or other document as may be satisfactory to the
Corporation, acting reasonably.