TSXV:BTRU.H - Post by User
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Analyzerrrron Nov 23, 2017 10:37pm
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Post# 27023425
Loan approval NR out
Loan approval NR out 11/24/2017 | 03:53 am
OTTAWA, Nov. 23, 2017 (GLOBE NEWSWIRE) -- betterU Education Corp.(TSX-V:BTRU) (Frankfurt:5OGA) (the “Company”) announces that it has negotiated and executed an amendment to the loan agreement dated October 4, 2017 with Runway Finance Group Inc.(the “Lender”), pursuant to which:
(a) The Loan Agreement is amended to add an additional credit advance of $200,000, under a non-revolving term facility in a maximum principal amount of $500,000 (the “Principal”).
(b) The Company agrees to pay to the Lender interest calculated on the Principal at an annual rate of 15%.
(c) The Company agrees to pay an additional $6,000 facility origination fee on the full amount of the Principal.
The term of the Loan is 2 years (the “Term”).
As additional consideration for such advances, the Company has agreed to issue an additional 250,000 common share purchase warrants (the “Warrants”) to the Lender. The Warrants are exercisable for a period of 2 years at a price of $0.80 subject to the following:
(a) the issuance of the bonus shares and bonus warrants is subject to the Company receiving acceptance from the Exchange therefor;
(b) the Common Shares issuable pursuant to the Warrants are subject to a hold period which will expire 4-months and a day from November 23, 2017; and
(c) if the Principal is reduced or repaid during the first year of the Term, a pro rata number of the total bonus Warrants must have their term reduced to the later of one year from issuance of the Warrants and 30 days from the reduction or repayment of the Loan.