GREY:FNKLF - Post by User
Post by
mcuglyon Oct 22, 2010 3:23pm
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Post# 17600094
Bridge Loan Facility
Bridge Loan Facility"Provided that the Company completes an equity financing in an amount of at least US$20 million from third parties prior to December 31, 2010, RCF has agreed to convert the Facility into equity at the subscription price and terms of said equity financing. This effective lead order subscription would close concurrent with the equity financing."
What happens if they don't get the US$20 million? Does RCF call in both loans? If so, is bankruptcy the next move?
It would be helpful to know some of the details of the prospectus. If they're looking at raising US$20 million from it then they would have to sell 150 million shares at todays price ($.135/sh). Not reassuring. Let's hope it doesn't come to that.