Debenture FinancingGrande West Announces Up To CDN$2,400,000 Non-Brokered Private Placement V.BUS | 41 minutes ago VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 25, 2016) - NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES Grande West Transportation Group Inc. (TSX VENTURE:BUS) ("Grande West" or the "Company") announces that it is undertaking a non-brokered private placement (the "Offering") of unsecured transferable series A and series B convertible debentures (the "Series A Debentures" and "Series B Debentures", and collectively the "Debentures") for gross proceeds of up to $2,400,000. 50% of the gross proceeds will be raised through the issuance of Series A Debentures and 50% through the issuance of Series B Debentures. The principal amount of each Debenture is convertible into common shares in the capital of the Company ("Common Shares") at the option of the holders at the conversion price of $0.68 per Common Share. The Debentures will pay interest at a fixed rate of 8% per annum from the closing of the Offering, payable quarterly in arrears from the date of issue to the maturity date. The Series A Debentures will mature 5 years from the date of issue and the Series B Debentures will mature 2 years from the date of issue. The Company will have the right to call the Series A Debentures after the first anniversary of the date of issue, subject to the conversion rights of the holders. In the event the holders of Series A Debentures elect not to exercise their rights of conversion, then at the time of the call of the Series A Debentures, for the purpose of repayment, a premium shall be applied to the maturity amount of the Series A Debentures as follows: 10% in the second year of the term; 7.5% in the third year of the term; 5.0% in the fourth year of the term; and 2.5% in the fifth year of the term. The Company will have the right to call the Series B Debentures after the date of issue, subject to the conversion rights of the holders. In the event the holders of Series B Debentures elect not to exercise their rights of conversion, then at the time of the call of the Series B Debentures, for the purpose of repayment, a premium shall be applied to the maturity amount of the Series B Debentures as follows: 10% in the first year of the term; and 7.5% in the second. The Series A and B Debentures also contain a term requiring the Company to obtain consent from the holders of at least 2/3 of the principal amount of the Debentures for any other debt financings to be undertaken by the Issuer, excluding routine indebtedness incurred by the Company in the ordinary course of business. Qualified persons who introduce investors to the Company shall be entitled to receive a finder's fee payable in cash equal to 6% of the amount raised and warrants equivalent to 6% of funds raised at an exercise price of $0.68 for a period of 18 months following the closing date. The net proceeds from the Offering will be used to fund the Company's business activities and for general working capital. The Offering will be exempt from prospectus and registration requirements of applicable securities laws. All securities issued pursuant to the Offering will be subject to a four month and one day hold period in accordance with applicable securities laws. The Offering is subject to acceptance by the TSX Venture Exchange. About Grande West Transportation Group Grande West is a Canadian bus manufacturer which designs, engineers and manufactures Vicinity buses for transit authorities and commercial enterprises. With little competition in the "mid-size" bus range, Grande West has set itself apart from others with the Vicinity bus - a heavy duty mid-size, true community transit bus for the North American market. The Vicinity is designed with affordability, accessibility and global responsibility in mind. It costs significantly less than a regular 40 foot transit bus, burns less fuel and emits less harmful emissions. Read more at https://www.stockhouse.com/news/press-releases/2016/04/25/grande-west-announces-up-to-cdn-2-400-000-non-brokered-private-placement#eUaGfj046W9Z0U1H.99