TORONTO, ONTARIO--(Marketwired - May 31, 2017) - Manu K. Sekhri (the "Acquiror") announces that, pursuant to a subscription agreement (the "Subscription Agreement") dated May 29, 2017 between Ascendant Group Holdings Inc., a company indirectly controlled by the Acquiror ("Ascendant"), and Quantum International Income Corp. (the "Company"), the Acquiror through Ascendant acquired beneficial ownership of 1,588,235 units of the Company (the "Units") by way of a private placement (the "Private Placement"). Pursuant to the terms and conditions of the Subscription Agreement, Ascendant paid C$0.17 per Unit for an aggregate acquisition cost of C$269,999.95. Each Unit acquired by the Acquiror through Ascendant pursuant to the Private Placement consists of one common share of the Company (a "Common Share") and one common share purchase warrant of the Company (a "Warrant"). Each Warrant entitles the holder thereof to purchase one Common Share until May 29, 2020 at a price of C$0.215.
Immediately prior to the closing of the Private Placement, the Acquiror beneficially owned 555,556 Common Shares and options to purchase 4,928,747 Common Shares ("Options"). Upon the closing of the Private Placement, the Acquiror beneficially owns 2,143,791 Common Shares, 4,928,747 Options, and 1,588,235 Warrants, representing beneficial ownership of, or the right to acquire beneficial ownership of, a total of 8,660,773 Common Shares (assuming the full exercise of all the Options and Warrants beneficially owned by the Acquiror), or approximately 12.21% of the issued and outstanding Common Shares (on a partially diluted basis after giving effect to the full exercise of all Options and Warrants beneficially owned by the Acqurior).
The Acquiror through Ascendant acquired the Units for investment purposes and may increase or reduce its investment in the Company according to market conditions or other relevant factors, but has no present intention to reduce his holdings. Neither the Acquiror nor any persons acting jointly or concert with the Acquiror currently has any plans or intentions that relate to the acquisition or disposition of securities of the Company except that the Acquiror anticipates exercising a portion of the Options in the near to intermediate future.
This news release is being disseminated as required by National Instrument 62-103 - The Early Warning System and Related Take-Over Bids and Insider Reporting Issues in connection with the filing of an early warning report (the "Early Warning Report"). A copy of the Early Warning Report is available on SEDAR under the Company's issuer profile at www.sedar.com or by contacting Manu K. Sekhri at 416-477-3414.