Business News • MarketWire • Cornwall Investments LLC To Acquire Additional Securities of Viridis Energy Inc. |
Cornwall Investments LLC To Acquire Additional Securities of Viridis Energy Inc. |
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Cornwall Investments LLC To Acquire Additional Securities of Viridis Energy Inc.
SOMERSET, NEW JERSEY--(Marketwire - Aug. 10, 2011) - Cornwall Investments LLC ("Cornwall") will acquire, pursuant to a non-brokered private placement, transferable convertible promissory notes (the "Convertible Notes") of Viridis Energy Inc. ("Viridis") in the aggregate principal amount of $3,922,000 evidencing a loan to be advanced by Cornwall. The Convertible Notes will bear interest at a fixed rate of 6% per annum and will be repayable on or before that date which is two years from the date of issuance. Viridis and Cornwall each will have the right at any time to convert any or all of the principal and interest owing under the Convertible Notes into units ("Units") of Viridis at a rate of one Unit for every $0.25 owing to a maximum, including Units issuable on conversion of interest owing, of 17,627,036 Units. These conversion rights cannot be exercised by either party without the prior approval of the TSX Venture Exchange if, upon such exercise, Cornwall would hold, directly or indirectly, legally or beneficially, 20% or more of Viridis' issued and outstanding voting securities. Each Unit issuable upon conversion of the Convertible Notes will comprise one common share of Viridis and one-half of one common share purchase warrant (the "Warrant"). Each whole Warrant will entitle the holder to acquire one common share of Viridis at a price of $0.40 per share for a period of 24 months from issuance, subject to certain acceleration provisions. The Convertible Notes will be secured by a general security interest in all of Viridis' assets which will be subordinated to the existing security interests granted by Viridis. The transaction is subject to the approval of the TSX Venture Exchange.
View More : http://www.marketwire.com/mw/release.do?id=1548433&sourceType=3
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