Mirasol Resources Secures Significant Loan for Operations
Mirasol Resources Secures a Notable Loan
Mirasol Resources Ltd. has announced a significant development as it secures a loan amounting to $2,000,000 from Mr. John Tognetti, a key director and controlling figure within the company. This loan, which is set at an interest rate of 10% per annum, will mature at the end of one year. Mirasol has the flexibility to repay this loan at any point without incurring penalties, ensuring financial discretion as they navigate their operational needs.
Purpose of the Loan
The funds obtained from this loan are earmarked primarily to settle outstanding obligations to arm's length creditors, as well as support general working capital. This strategic move is expected to bolster Mirasol’s operational capabilities and provide a solid foundation for future endeavors.
Bonus Shares for Mr. Tognetti
As part of this loan arrangement, Mirasol has also issued 500,000 common shares, referred to as Bonus Shares, to Mr. Tognetti. These shares represent 10% of the loan's principal amount, further establishing a bond between the company and its director. The issuance of these shares showcases Mirasol’s commitment to building strong ties with its leadership.
Related Party Transaction Compliance
Given Mr. Tognetti’s pivotal role and relationship with Mirasol, this loan transaction is categorized as a related party transaction based on Multilateral Instrument 61-101, focusing on the protection of minority security holders in special transactions. Mirasol has benefited from exemptions concerning formal valuations and minority approvals, since the fair market value of this loan does not surpass 25% of Mirasol’s market capitalization, thus expediting the process.
Timelines and Filing Requirements
The urgency of this transaction is illustrated by the timeline involved; there is less than 21 days from the date of the loan's agreement to when the related material change report must be filed. This swift action is instrumental in allowing Mirasol to access the needed funds to address immediate creditor obligations.
Regulatory Oversight
The Bonus Shares are subject to a hold period of four months following their issuance. Additionally, acceptance of the loan arrangement and the associated shares is required from the TSX Venture Exchange, ensuring regulatory compliance in Mirasol’s financial activities.
Contact Information for Inquiries
For further information about Mirasol Resources and this financial update, interested parties are encouraged to reach out to:
Tim Heenan, President & CEO
or
Troy Shultz, Vice President of Investor Relations
Tel: +1 (604) 602-9989
Email: contact@mirasolresources.com
Website: www.mirasolresources.com
Frequently Asked Questions
What is the amount of the loan secured by Mirasol Resources?
Mirasol Resources secured a loan of $2,000,000 from director John Tognetti.
What is the interest rate on the loan?
The loan carries an interest rate of 10% per annum.
What are Bonus Shares?
Bonus Shares are additional shares issued by the company to augment the holdings of a shareholder, in this case, Mr. Tognetti, worth 10% of the loan amount.
Why is the loan considered a related party transaction?
The loan is deemed a related party transaction due to Mr. Tognetti’s direct relationship with Mirasol Resources.
What will Mirasol use the loan proceeds for?
The proceeds will be primarily used to pay arm’s length creditors and for general working capital.
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