PyroGenesis Inc T.PYR

RE:RE:What happened After a very similar loan on March 18, 2020?

[GrahamB]

BCONTVentures wrote: Great post jetpack, thanks for this.  It's interesting to note that the loan given (and subsequently repaid) in 2020 had a 12% interest rate (in a low rate environment).  The recent financing/private placement is at 3%, in a high rate environment.  Peter/PyroGenesis got a great rate at 3% in these times. 

Interesting that Peter/PYR only chose to borrow $1.25 million at this rate of 3%.  Also keep in mind that Peter is on a business trip in early January.

Looking forward to 2024!

jetpack wrote: The last Time Peter made a loan to PYR was march 18, 2020 I believe, it had basically the same security on "Movable Property" what happened after that, did Peter disolve the company and take the patents and run as may are suggesting here? No, actually this happened,

Price March 20th .15 USD
Price July 24th $4.22 USD
Price Febuary 2021 $9.43 USD

Maybe the reason Peter is making this bridge loan is not the evil intent some suggest, but one hell of a deal(s) is(are) around the corner. Many Millioniares were made in 2020 because of this opportunity, Happy new year to all!

MONTREAL, March 18, 2020 (GLOBE NEWSWIRE) -- PyroGenesis Canada Inc. (https://pyrogenesis.com) (TSX-V: PYR) (OTCQB: PYRNF) (FRA: 8PY), a high-tech company, (the "Company", the “Corporation” or "PyroGenesis") that designs, develops, manufactures and commercializes plasma atomized metal powder, plasma waste-to-energy systems and plasma torch systems, is pleased to announce today that it has closed a $903,000 non-brokered secured convertible loan at 12% per annum (the “Loan”), with a related party.

The Loans bears interest at the rate of 12% per annum, with interest payable in cash on a quarterly basis in arrears and matures September 17th, 2021. The Loan is convertible into common shares of the Company (each, a "Common Share") at a conversion price of .28 per Common Share (the "Conversion Price"). The Common Shares issuable on conversion of the Loan will be subject to a statutory hold period of four months and one day from the closing date.

The Loan is secured by a subordinated Hypothec on the Universality of Movable Property over all of the present and after acquired moveable property and assets of the Company.

PyroGenesis intends to use the net proceeds from the Offering for general corporate purposes. The Offering is subject to the final approval of the TSXV.

as you say,"It's interesting to note that the loan given (and subsequently repaid) in 2020 had a 12% interest rate (in a low rate environment)."

do you feel that it's appropriate that someone who would have a potentially conflict of interest since they had a majority share in this company, and then would loan them at these 12% rates, which would be higher than potentially might even be obtained from a bank at a time of low interest rates as you know?

IT suggests to me, that someone was taking advantage of a situation at that point, and getting an excellent interest rate, which the company and other shareholders would be providing

 

I also think that things are different now than 2020 in terms of taking the moveable assets as collateral. Remember, there is currently a lawsuit going on by the regulators, in which they hoped to remove  the CEO and ban them from being a part of a company. If that were successful, how would that impact things now? Would that not be an issue for shareholders if they decided to take that lien on the property now versus almost 4 years ago?

 

 The financial situation seems now much more precarious, and those terms to me, in terms of having a lien under the IP seem very concerning.
a much greater concern now, of someone having these kinds of terms over the companies patents.

 

All in my opinion, not for investment advice, for entertainment only