Painful reality
Each Unit issued pursuant to the Offering consists of one 7.0% senior unsecured convertible debenture of the Company (each, a "Convertible Debenture") and 1,425 common share purchase warrants (each, a "Warrant"). The principal amount of each Convertible Debenture is convertible into common shares of the Company ("Common Shares") at the option of the holder at any time prior to the close of business on the last business day immediately preceding the Maturity Date (as defined herein), at a conversion price of $0.35 per Common Share, subject to adjustment upon certain customary events. The Convertible Debentures shall mature on January 9, 2021 (the "Maturity Date"). Holders converting their Convertible Debentures will receive accrued and unpaid interest thereon for the period from and including the date of the latest interest payment date to, but excluding, the date of conversion. Each Warrant will entitle the holder to acquire one Common Share at a price of $0.50 per Common Share until January 9, 2021, subject to adjustment upon certain customary events.