Argex Titanium Updates on Private Placement of Secured Convertible Notes
MONTREAL, Quebec (FSCwire) - Argex Titanium Inc. (TSX:RGX) (the “Corporation” or “Argex”) provides an update on the private placement offering (the “Offering”) of secured convertible notes (the “Notes”) for minimum gross proceeds of $1,600,000 and maximum gross proceeds of $2,400,000 at a subscription price of $1,000 per Note.
As of today, the private placement has been fully subscribed and the closing is expected in July 2016.
Each Note will be convertible at the option of the holder into 33,333 common shares of the Corporation (“Shares”) at an issue price of $0.03 each and 28,333 warrants to purchase additional Shares (“Warrants”) at any time at a price of $0.05 each over a five-year term. Unless converted prior thereto, the Notes will mature in two years from the date of issuance and bear interest at the rate of 15% per annum payable annually up to their time of conversion. Holders of Notes may at their option convert any unpaid and/or accrued interest thereon into additional Shares at an issue price of $0.03 each.
The Corporation has obtained the acceptance and supporting documentation from a majority of the holders of the existing 8% convertible unsecured subordinated debentures (the “Convertible Debentures”) to, inter alia, amend the conversion price thereof from $1.14 to $0.11.
The TSX has also granted the Corporation a 30-day extension to provide further support in favor of the Corporation’s continued listing on the TSX.
About Argex Titanium
Argex Titanium Inc. has developed an advanced chemical process for the volume production of high grade titanium dioxide (TiO2) for use in high quality paint, plastics, cosmetics and other applications. The Corporation’s unique proprietary process takes relatively inexpensive and plentiful source material from a variety of potential vendors, and produces TiO2 along with other valuable by-products. Argex’s process provides a significant cost and environmental advantage over current legacy TiO2 production methods.
Contacts:
Mazen Haddad
Director and Interim President and CEO
(514) 843-5959
Nicole Blanchard
Corporate Communications and Investor Relations
Argex Titanium
(514) 843-5959
nblanchard@argex.ca
Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.
To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/Argex06272016.pdf
Source: Argex Titanium Inc. (TSX:RGX) http://www.argex.ca/en/
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