RE:New Partner - Osmose LimitedThis is great news and should finance Erin for the forseeable future without any more 5 cent PP's.
Erin will issue 35.5 million shares at 10 cents ($3.55M) to Osmose with another 35.5 million warrants exerciseable at 22 cents ($7.81M) for 2 years. This will cap at 19.9% ownership of Erin Ventures.
So with Temas, we gave up 50% of the property for $10 million Euros.
With Osmose, we give up 20% of Balkan for $10 million Euro and we give up another 25% of Balkan for an additional $12 million Euro. So in total, we give up 45% of Balkan for $22 Million Euros and approximately 20% of Erin for $11.36 million.
The Temnas deal did not help Erin with paying the bills, but the PP by Osmose will finance them for a long time and the dilution is at a much lower rate than the last few years of 5 cent PP's.
This is still a LOI and I will feel better when everyone's signatures are attached to a binding contract, but this is fantastic news and will take us to the promised land!!
Great job EV team!