AgriMarine Announces $5,000,000 Loan from Dundee
VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 22, 2013) - AgriMarine Holdings Inc. (TSX VENTURE:FSH)(FRANKFURT:A2G) (the "Company" or "AgriMarine") is pleased to announce that Dundee Agricultural Corporation ("Dundee") has agreed, subject to the approval of the TSX Venture Exchange (the "Exchange"), to advance a loan in the principal amount of $5,000,000 (the "Loan") to the Company.
The Loan will be evidenced by a convertible note, will bear interest at a rate of 12.68% per annum and will have a term of one year.
Pursuant to the terms of the Loan, the Company is required to complete a consolidation of shares within 90 days. Shareholder approval will be sought for the consolidation of shares at the Annual General Meeting of Shareholders to be held on April 26, 2013. Subject to the approval of the Exchange, Dundee may elect to convert the principal balance of the Loan into common shares of the Company at any time at a price per share equal to (a) prior to the consolidation, $0.10 per share, and (b) following the consolidation, at a price of $0.015 multiplied by the consolidation ratio.
The proceeds of the Loan will be used for the purchase and deployment of further AgriMarine System™ tanks. Proceeds of the Loan will also be used for supporting engineering work, filing of patents related to AgriMarine's IP, working capital and general and administrative expenses.
About AgriMarine Holdings Inc.
Canadian-based AgriMarine has developed innovative aquaculture technology for farming salmon, trout and other high value fin fish species in closed containment. The Company utilizes its solid-walled floating tanks to address sustainability issues in aquaculture, to create an optimal fish rearing environment with added economic and environmental benefits and to meet consumer and retailer demands for sustainable fin fish products. The AgriMarine System can be applied in warm or cold climate conditions, in oceans, reservoirs and lakes.
