Tangelo Games Corp. IPRSF

RE:RE:RE:RE:RE:RE:MD&A available on sedar

[lscfa]

The 90% of any equity or M&A transaction would be limited to the debt outstanding as it is for repayments of principal......

Lendlfan wrote: Here is the actual statement from their MD&A.

"In January 2017, the Company entered into another amending agreement with its lenders whereby a principal repayment of the greater of US$10.0 million and 90% of proceeds of any equity or M&A transaction completed was required by March 31, 2017."

So my question is, can anyone decipher this properly for the rest of us? 90% of proceeds - so that means if the company gets bought out for $50 Gazillion dollars they get $45 Gazillion?

Come on....it can't mean that they get 90% of whatever the company gets sold for. Whoever buys the company takes on the debt, and we get the share price its bought for.

Either, if the buying company has to give all the cash to the bank, then we get at least new shares of the acquiring company. If the bank gets their money, there is still a company that we own shares in.

If its an equity injection, the bank will get 90% of the injection ONLY with the minimum being $10 Million and the maximum obviously being the entire indebted amount. They can't take more than that.

Anyone?