- Greenwater Investment Hong Kong Limited (“Greenwater”) will convert $6,285,194 of principal and accumulated interest into 25,140,774 Gowest shares, representing approximately 16.3% of the Gowest shares to be issued and outstanding following the completion of the Transaction. The principal and interest to be converted by Greenwater represents approximately half of the outstanding principal and accumulated interest owed to it. The remaining portion of the debt owed to Greenwater, being a principal amount of $3,500,000, with repayment obligations being extended by 12 months, otherwise remains outstanding according to its original terms.
- Inner Mongolia Jinshengda Investment Co. Ltd. (“Jinshengda”) will convert $5,858,552 of principal and accumulated interest into 23,434,208 shares, representing approximately 15.2% of the Gowest shares to be issued and outstanding following the completion of the Transaction. Jinshengda acquired its debt, at par, by assignment from Shandong Humon Smelting Co. The debt owed to Jinshengda will be satisfied in full pursuant to the Transaction.
- Lush Land Investment Canada Inc. (“Lush Land”), will convert $5,568,205 of principal and accumulated interest into 22,272,820 shares, representing approximately 14.4% of the Gowest shares to be issued and outstanding following the completion of the Transaction. Meirong Yuan, a director of Gowest, is also a director and minority (non-controlling) shareholder of Lush Land. The debt owed to Lush Land will be satisfied in full pursuant to the Transaction.
- C. Fraser Elliott, Gowest’s Chairman, will convert $312,137 of principal and accumulated interest into 1,248,548 shares. Following completion of the Transaction, Mr. Elliott will hold an aggregate of 7,340,551 Gowest shares (including his existing shareholding), representing approximately 4.8% of the Gowest shares to be issued and outstanding. The debt owed to Mr. Elliott will be satisfied in full pursuant to the Transaction.
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