International Lithium Closes Final Tranche of Private Placement of $1,000,000 Convertible Securities
Vancouver, August 10, 2017 - International Lithium Corp. (TSXV: ILC) (the "Company" or "ILC") is pleased to announce that it has closed the final tranche of its previously announced $1,000,000 non-brokered private placement (the "Private Placement") of convertible securities, for proceeds of $475,000. The securities were issued pursuant to a convertible loan bearing interest at the rate of 15% per annum, payable quarterly, with a maturity date of one year from the date of advance. The lenders may convert at any time, all or a portion of the convertible loan principal into common shares of the Company at a price of $0.14 per common share. The Company has the right to repay the convertible loans, at any time after three months from the date of advance. The Issuer agrees to use its best endeavours to raise equity funds to repay the convertible loans in whole or in part. If the Issuer raises insufficient equity funds to repay all of the convertible loans, then the Issuer may repay them on a pro-rata basis to each registered holder.
The proceeds of the private placement will be used for general working capital purposes. All private placement securities will be restricted from trading for a period of four months and one day from closing. The convertible loans will be secured by a general security agreement against the Company's assets.
Three insiders of the Company participated in this tranche of the private placement and subscribed for a face value of $475,000 in convertible securities. Participation by the three insiders constitutes a related party transaction as defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions. The Company did not file a material change report 21 days prior to the closing of the private placement as the details of the participation of insiders of the Company had not been confirmed at that time.
On behalf of the Board of Directors,
Kirill Klip
Executive Chairman
For further information concerning this news release please contact +1 604-700-8912
Neither 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.
Cautionary Statement Regarding Forward-Looking Information
Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "will", "could" and other similar words, or statements that certain events or conditions "may" or "could" occur. Such forward-looking information is based on a number of assumptions and subject to a variety of risks and uncertainties, including but not limited to those discussed in the sections entitled "Forward-Looking Statements" in the interim and annual Management's Discussion and Analysis which are available at www.sedar.com. While our management believes that the assumptions made are reasonable, should one or more of the risks, uncertainties or other factors materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking information. Forward-looking information herein, and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this cautionary statement. Except as required by law, the Company assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.