CALGARY, ALBERTA -- (Marketwired) -- 07/17/13 -- West Mountain Capital Corporation (TSX VENTURE: WMT) (the "Corporation" or "WMT") is pleased to announce that it has completed a non-brokered private placement ("Private Placement") of 790 units ("Units") for gross proceeds of $790,000. Each Unit is comprised of one 10% convertible unsecured subordinated debenture in the total principal amount of C$1,000 (a "Debenture") and 3,125 common share purchase warrants (each such warrant, a "Warrant").
The Debentures have a term of two years, subject to prepayment rights in certain circumstances, and will be convertible into common shares ("Common Shares") of the Corporation at the conversion price of $0.32 per share. Each Warrant entitles the holder thereof to purchase one Common Share of the Corporation (a "Warrant Share") at a price of $0.32 per Warrant Share at any time prior to 4:30 p.m. (Calgary time) on the date that is two years from the date of the issuance of the Units.
The Debentures, Warrants and the Warrant Shares of the Corporation shall be subject to a statutory four-month hold period from the date of closing. Net proceeds of the private placement will be used for general working capital purposes.
Completion of the financing is subject to final TSX Venture Exchange approval.
Insiders of the Corporation subscribed for an aggregate of 665 Units, comprised of Debentures in the total aggregate principal amount of $665,000 and an aggregate of 2,078,125 Warrants. The Corporation has determined that there are exemptions available from the various requirements of the TSX Venture Policy 5.9 and Multilateral Instrument 61-101 for the issuance of these Units (Formal Valuation - Issuer Not Listed on Specified Markets; Minority Approval - Fair Market Value Not More Than 25% of Market Capitalization).
Further to disclosure requirements of applicable securities laws, Mr. Paul Antle of St. John's, Newfoundland and Labrador reports that his wholly-owned corporation, Pluto Investments Inc. has purchased 100 Units pursuant to the financing. Prior to the transaction, Mr. Antle owned and controlled 6,225,610 Common Shares representing approximately 16.4% of the issued and outstanding Common Shares. On a diluted basis, should Mr. Antle exercise all of his 312,500 Warrants and convert his Debentures in the principal amount of $100,000, he would have ownership and control over 6,850,610 Common Shares representing approximately 17.8% of the issued and outstanding Common Shares.
Mr. Stephen Clarke of Delta, B.C. reports that he purchased 25 Units pursuant to the financing. Prior to the transaction, Mr. Clarke owned and controlled 4,817,890 Common Shares representing approximately 12.7% of the issued and outstanding Common Shares. On a diluted basis, should Mr. Clarke exercise all of his 62,500 Warrants and convert his Debentures in the principal amount of $20,000, he would have ownership and control over 4,942,890 Common Shares representing approximately 13.0% of the issued and outstanding Common Shares.
Golden Opportunities Fund Inc. ("GOF") of Saskatoon, Saskatchewan reports that it purchased 395 Units pursuant to the financing. Prior to the transaction, GOF owned and controlled 12,842,333 Common Shares. On a diluted basis, should GOF exercise all of its 1,234,375 Warrants and convert its Debentures in the principal amount of $395,000, it would have ownership and control over 15,311,083 Common Shares representing approximately 37.9% of the issued and outstanding Common Shares.
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