Stronghold Announces Unsecured Debt Financing
25 7월 2012 - 2:44AM
STRONGHOLD METALS INC.
("
Stronghold" or the "
Company")
(TSX-V:Z), (OTCQX:STMDF) and (Frankfurt: E9X) The Company announces
that it has arranged non secured loans (the "Loans") from certain
arm's length parties in the aggregate amount of $350,000. The Loans
are for an initial term of 6 months, renewable for an additional
term of 3 months (the "Renewal Term") at the option of the Company.
The Loans carry interest at a rate of 1% per month for the initial
term and 2% per month for the Renewal Term, if any. As additional
consideration of the Loans being granted, the Company has agreed to
pay the lenders a bonus equal to 20% of the principal amount of the
Loans, payable by the issuance of common shares in the capital of
the Company (the "Bonus Shares") at a deemed price of $.05 per
Bonus Share. Accordingly the Company will issue the Lenders
in aggregate 1,400,000 common shares in the capital of the Company,
or in the event the Bonus Shares are issued subsequent to the
Company's share consolidation, 280,000 post consolidation Bonus
Shares. The Company has agreed to pay a finder's fee in the
amount of $33,750 to a finder in consideration of the finder
arranging the Loans. The Loans and finder's fee are subject to the
acceptance of the TSX Venture Exchange. The Company also clarifies
that it has terminated its consulting agreement for strategic
marketing and investor relations with First Canadian Capital Corp.,
and all options granted pursuant to such consulting agreement have
expired. Mr. Ioannis (Yannis) Tsitos, Stronghold's President and
Chief Executive Officer stated: "The Loans we have arranged allow
Stronghold to continue its reorganization. The proceeds will be
used to pay certain outstanding debt, to commence an updated
National Instrument 43-101 report on the Eagle Mountain Property
and for general working capital. We appreciate the efforts of the
finder and the lenders in arranging unsecured Loans, and commit to
completing the reorganization, including the proposed share
consolidation and name change, so that we can properly finance
Stronghold going forward. We expect the name change and share
consolidation to take place this week, immediately upon regulatory
approval."
About Stronghold Metals Inc. Stronghold
Metals is an emerging mid-sized gold exploration and development
Company with its primary property, the Eagle Mountain gold project,
located in Guyana, South America. For further information please
see http://www.strongholdmetals.com or contact: Mr. Ioannis
(Yannis) Tsitos, President and CEO Stronghold Metals Inc. Tel:
1-604-806-0916 yannis@strongholdmetals.com
On
behalf of The Board of Directors of Stronghold Metals
Inc. "Ioannis (Yannis) Tsitos" President, Chief
Executive Officer & Director This document contains certain
forward looking statements which involve known and unknown risks,
delays, and uncertainties not under the corporations control which
may cause actual results, performance or achievements of the
corporation's to be materially different from the results,
performance or expectation implied by these forward looking
statements. Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
The Stronghold Metals logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=13563
CONTACT: Mr. Ioannis (Yannis) Tsitos, President and CEO
Stronghold Metals Inc.
Tel: 1-604-806-0916
yannis@strongholdmetals.com
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