Click here to close now.

Welcome!

News Feed Item

Minera Alamos Inc.: Renegotiates Promissory Notes and Convertible Debentures

TORONTO, ONTARIO -- (Marketwired) -- 08/20/14 -- Minera Alamos Inc. (previously Virgin Metals Inc., the "Company" or "Minera Alamos") (TSX VENTURE: MAI) is pleased to announce that it has completed a restructuring of the Company's debts.

"Over the past months, the Company has been undergoing a reorganization of its assets, capital structure and liabilities in order to position itself for the ongoing advancement of its primary copper project in Sonora, Mexico," said Chris Frostad, President & CEO of Minera Alamos. "As a key element of this process, the Company has now renegotiated the terms of approximately $808,800 in promissory notes, convertible debentures and related interest."

The Company is issuing replacement three year debentures in the amount of $770,000 carrying a yield of 8% per annum which are convertible into units ("Units") at a conversion price equal to $0.20 per Unit at any time up to the maturity date (the "Convertible Debentures"). These Convertible Debentures will replace existing convertible debentures and promissory notes, as more fully described below. Each Unit is comprised of one common share of the Company ("Common Share") and one half-share purchase warrant ("Warrant"). Each Warrant is exercisable into one Common Share at a price of $0.25 per Common Share until the maturity of these debentures.

The Convertible Debentures are secured by a charge of the common shares of the Company's 100% owned subsidiary, Minera Alamos De Sonora. The Company may redeem the Convertible Debentures at any time. In the event that the Common Shares of the Company trade at an average closing price of $0.25 or greater over a 20-day trading period the Company may force the conversion of the Convertible Debentures.

Certain of the Convertible Debenture holders are non-arm's length parties. Such non-arm's length parties hold $400,000 of the total number of Convertible Debentures. Specific restrictions exist under the terms of the Convertible Debentures which restrict conversion to Common Shares to the extent that they would create a new Control Person.

Certain Convertible Debentures held by a non-arm's length party will contain additional restrictions on conversion. 179,890 Common Shares held by "Associates" (as defined in the TSXV Corporate Finance Manual) of non-arm's length parties will be included in the total number of Common Shares deemed to be held by this non-arm's length party for the purposes of determining whether such non-arm's length party is a "Control Person" upon conversion of its Convertible Debentures.

The Convertible Debentures to be issued replace the following debts of the Company:


1.  Existing Convertible Debentures ("Existing Debentures") in the amount
    $545,000 issued on December 22, 2011. Those debentures carried an
    interest rate of 8%, were convertible into Common Shares at a price of
    $3.50 and matured on December 22, 2013. Non-arm's length parties
    currently hold $400,000 of that debt. The Convertible Debentures will be
    issued on a dollar for dollar basis to replace the Existing Debentures.
2.  A 12-month promissory note in the amount of $100,000 ("First Note")
    issued on September 13, 2012 which matured on September 13, 2013,
    carrying an annual interest rate of 20%. This First Note is held by an
    arm's length party. The Convertible Debentures will be issued on a
    dollar for dollar basis to replace the First Note.
3.  A 12-month promissory note in the amount of $125,000 ("Second Note")
    issued on October 16, 2012 which matured on October 16, 2013, carrying
    an annual interest rate of 20%. This Second Note is held by an arm's
    length party. The Convertible Debentures will be issued on a dollar for
    dollar basis to replace the Second Note.

In connection with these transactions, the Company will also issue 543,571 common shares in the capital of the Company at a deemed price of $0.20 per common share as payment for $108,714 in interest owed on the above-extinguished debts. Of the total shares issued, 96,877 shares will be issued to non-arm's length parties. These shares will be subject to a hold period of four months and a day after the distribution date.

About Minera Alamos

Minera Alamos is a junior exploration and development company; its projects include the Los Verdes copper-molybdenum porphyry project in Sonora, northern Mexico that is currently the subject of a pre-feasibility study.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contacts:
Minera Alamos Inc.
Chris Frostad
(416) 306-0990
www.mineraalamos.com

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
One of the hottest areas in cloud right now is DRaaS and related offerings. In his session at 16th Cloud Expo, Dale Levesque, Disaster Recovery Product Manager with Windstream's Cloud and Data Center Marketing team, will discuss the benefits of the cloud model, which far outweigh the traditional approach, and how enterprises need to ensure that their needs are properly being met.
The time is ripe for high speed resilient software defined storage solutions with unlimited scalability. ISS has been working with the leading open source projects and developed a commercial high performance solution that is able to grow forever without performance limitations. In his session at Cloud Expo, Alex Gorbachev, President of Intelligent Systems Services Inc., shared foundation principles of Ceph architecture, as well as the design to deliver this storage to traditional SAN storage co...
17th Cloud Expo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterprises ar...
Overgrown applications have given way to modular applications, driven by the need to break larger problems into smaller problems. Similarly large monolithic development processes have been forced to be broken into smaller agile development cycles. Looking at trends in software development, microservices architectures meet the same demands. Additional benefits of microservices architectures are compartmentalization and a limited impact of service failure versus a complete software malfunction. ...
Discussions about cloud computing are evolving into discussions about enterprise IT in general. As enterprises increasingly migrate toward their own unique clouds, new issues such as the use of containers and microservices emerge to keep things interesting. In this Power Panel at 16th Cloud Expo, moderated by Conference Chair Roger Strukhoff, panelists addressed the state of cloud computing today, and what enterprise IT professionals need to know about how the latest topics and trends affect t...
"We provide a web application framework for building really sophisticated web applications that run on a browser without any installation need so we get used for biotech, defense, and banking applications," noted Charles Kendrick, CTO and Chief Architect at Isomorphic Software, in this SYS-CON.tv interview at @DevOpsSummit (http://DevOpsSummit.SYS-CON.com), held June 9-11, 2015, at the Javits Center in New York
SYS-CON Events announced today that Secure Infrastructure & Services will exhibit at SYS-CON's 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Secure Infrastructure & Services (SIAS) is a managed services provider of cloud computing solutions for the IBM Power Systems market. The company helps mid-market firms built on IBM hardware platforms to deploy new levels of reliable and cost-effective computing and hig...
It is one thing to build single industrial IoT applications, but what will it take to build the Smart Cities and truly society-changing applications of the future? The technology won’t be the problem, it will be the number of parties that need to work together and be aligned in their motivation to succeed. In his session at @ThingsExpo, Jason Mondanaro, Director, Product Management at Metanga, discussed how you can plan to cooperate, partner, and form lasting all-star teams to change the world...
In the midst of the widespread popularity and adoption of cloud computing, it seems like everything is being offered “as a Service” these days: Infrastructure? Check. Platform? You bet. Software? Absolutely. Toaster? It’s only a matter of time. With service providers positioning vastly differing offerings under a generic “cloud” umbrella, it’s all too easy to get confused about what’s actually being offered. In his session at 16th Cloud Expo, Kevin Hazard, Director of Digital Content for SoftL...
"What Dyn is able to do with our Internet performance and our Internet intelligence is give companies visibility into what is actually going on in that cloud," noted Corey Hamilton, Product Marketing Manager at Dyn, in this SYS-CON.tv interview at 16th Cloud Expo, held June 9-11, 2015, at the Javits Center in New York City.
Today air travel is a minefield of delays, hassles and customer disappointment. Airlines struggle to revitalize the experience. GE and M2Mi will demonstrate practical examples of how IoT solutions are helping airlines bring back personalization, reduce trip time and improve reliability. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Dr. Sarah Cooper, M2Mi’s VP Business Development and Engineering, will explore the IoT cloud-based platform technologies drivi...
Containers have changed the mind of IT in DevOps. They enable developers to work with dev, test, stage and production environments identically. Containers provide the right abstraction for microservices and many cloud platforms have integrated them into deployment pipelines. DevOps and Containers together help companies to achieve their business goals faster and more effectively. In his session at DevOps Summit, Ruslan Synytsky, CEO and Co-founder of Jelastic, reviewed the current landscape of...
Explosive growth in connected devices. Enormous amounts of data for collection and analysis. Critical use of data for split-second decision making and actionable information. All three are factors in making the Internet of Things a reality. Yet, any one factor would have an IT organization pondering its infrastructure strategy. How should your organization enhance its IT framework to enable an Internet of Things implementation? In his session at @ThingsExpo, James Kirkland, Red Hat's Chief Arch...
The last decade was about virtual machines, but the next one is about containers. Containers enable a service to run on any host at any time. Traditional tools are starting to show cracks because they were not designed for this level of application portability. Now is the time to look at new ways to deploy and manage applications at scale. In his session at @DevOpsSummit, Brian “Redbeard” Harrington, a principal architect at CoreOS, will examine how CoreOS helps teams run in production. Attende...
Containers are revolutionizing the way we deploy and maintain our infrastructures, but monitoring and troubleshooting in a containerized environment can still be painful and impractical. Understanding even basic resource usage is difficult – let alone tracking network connections or malicious activity. In his session at DevOps Summit, Gianluca Borello, Sr. Software Engineer at Sysdig, will cover the current state of the art for container monitoring and visibility, including pros / cons and liv...