BEEP BEEP BEEP BEEP BEEP BEEP BEEP BEEP BEEP BEEP!!!!!!!IS THAT THE REVERSE LIGHTS I HEAR??????????!!!!!!!!!!!!!!!!!!!!!!!!!!! BUT THE GANG OF THIRTEEN SAID IT WAS A DONE DEAL! OH HOW WE LAUGHED! NICE JOB ALL.....THE REGULATORS ARE LISTENING!
Eco Oro reschedules AGSM, amends settlement agreement
2017-09-11 17:34 ET - News Release
An anonymous director reports
ECO ORO RESCHEDULES ANNUAL GENERAL AND SPECIAL SHAREHOLDERS' MEETING, AMENDS SETTLEMENT AGREEMENT AND OBTAINS LOAN
Eco Oro Minerals Corp. has rescheduled the annual general and special meeting of the holders of common shares of Eco Oro previously scheduled for Sept. 26, 2017, has approved an amendment to the previously disclosed settlement agreement dated July 31, 2017, and has obtained a loan.
2017 Meeting Rescheduled
As a result of recent amendments made to the settlement agreement entered into on July 31, 2017 (the "Amended and Restated Settlement Agreement"), which are outlined below, the board of directors (the "Board") has determined that it is in the best interests of the Company to reschedule the 2017 Meeting. The rescheduling of the 2017 Meeting is also possible due to an order obtained on August 28, 2017 from the Ontario Securities Commission (the "OSC"), which varied the April 23, 2017 order of the OSC by providing that the Company has until October 30, 2017 to comply with the April 23, 2017 order.
The 2017 Meeting has been rescheduled to be held on Tuesday, October 10, 2017 at 10:00 a.m. (Toronto time) at the offices of Norton Rose Fulbright Canada LLP, Royal Bank Plaza, South Tower, Suite 3800, 200 Bay Street, Toronto, Ontario M5J 2Z4. The record date for determining shareholders entitled to vote at the 2017 Meeting remains August 11, 2017.
Eco Oro intends to mail the notice of annual general and special meeting and management information circular, together with the other materials related to the 2017 Meeting and other proxy-related materials, to the shareholders of record on or about September 14, 2017.
Amended and Restated Settlement Agreement
The Board has determined that it is in the best interest of the Company to approve certain amendments to the previously disclosed comprehensive settlement agreement dated July 31, 2017. As disclosed in a press release dated August 1, 2017, this agreement was approved by the Board and, upon its implementation, will resolve all outstanding litigation relating to the Board's composition, investments by certain of the Company's shareholders, and the 2017 Meeting.
The Amended and Restated Settlement Agreement includes two principal amendments. The Company will not be proceeding with the previously proposed amendment of its convertible unsecured notes. Also, the current composition of the Board is contingent on the Board (including David Kay and Anna Stylianides) approving a financing for no more than US$6.5 million by November 30, 2017 in order to enable the Company to meet its working capital needs.
The terms of the Amended and Restated Settlement Agreement will be available at www.sedar.com.
Loan
In order to fund the implementation of the settlement contemplated by the Amended and Restated Settlement Agreement and the short-term working capital needs of the Company, Trexs Investments, LLC has agreed to loan the Company US$4 million (the "Loan") pursuant to the terms of a loan agreement (the "Loan Agreement"). Owing to these needs, the Loan will be funded immediately, which management believes is reasonable and necessary in the circumstances. The Loan is unsecured and for a term of 150 days and bears interest at a rate of 5% per annum. The Loan Agreement was approved by each of the independent directors of the Company.