The TSX Venture Exchange has accepted for filing the company's proposal to issue 3,104,513 non-transferable common share purchase warrants to an arm's-length party in return for an initial drawdown of $3,596,849 (U.S.) from a credit facility loan extended by the lender. Pursuant to the terms of a loan facility agreement dated Dec. 5, 2023, the company may draw up to a maximum of $28.5-million (U.S.) from the lender. Future advances shall be available to the company per the terms of the agreement in tranches of no less than $2-million (U.S.) per future advance. Additional bonus warrants may be granted in connection with future advances, subject to exchange policy pricing limitations and subject to prior exchange approval.

Proceeds from the facility will be used to repay the existing loan with an affiliate of the lender and to finance future investments. The drawn amounts will bear an interest rate equal to the secured overnight financing rate plus 7.5 per cent per annum. An arrangement fee of 2 per cent from each draw will be added to the aggregate drawn amount. The amounts drawn from the initial advance and future drawdowns will mature three years from the date of the draw and will be secured against the existing investment assets of the company.

Each initial bonus warrant shall be exercisable into one common share in the capital of the company at an exercise price of 31 cents for a period of three years from the date of issuance. As a condition of the initial bonus warrants, 2,535,633 existing bonus warrants issued to the lender affiliate in connection with the previous credit facility will be cancelled.

For further information, please reference the company's news releases dated Nov. 23, 2023, Dec. 5, 2023, and Dec. 11, 2023.