I saw where they raised money to pay for services like most stock companies do.
In 2014, financing activities consisted primarily of $61.2 million of net proceeds from convertible debentures issued (that have largely been converted into equity). Which means they converted most of them into shares and sold them to pay for services which is what all otcbb companies as well as NYS companies do....nothing new....old news In October 2014, holders of the remaining 12,000 of the Company’s palladium warrants exercised their warrants. In settlement of the warrants, the Company paid approximately $1.1 million in cash. As at February 18, 2015, no palladium warrants remained outstanding
They used cash of $23.6 million in 2014 compared to $108.3 million in 2013 for expenditures primarily for additions to mining interests. In July 2014, the Company extended its US$60 million credit facility to July 3, 2015.
In the second quarter of 2014, the Company closed $35.0 million gross principal amount of convertible unsecured subordinated debentures (the “Tranche 2 Debentures”) including approximately 18.9 million warrants (the “Tranche 2 Warrants”). The conversion price of the Tranche 2 Debentures is $0.4629 per share and the exercise price of the Tranche 2 Warrants is $0.5786 per share. The Tranche 2 Debentures mature on April 11, 2019 and bear interest at an annual rate of 7.5%.....Which I feel inApril of 2019 the pps will be much higher than .58 so they can exercise a conversion of the shares they own. At the Company’s option, interest and Tranche 2 Make-Whole Amounts can be paid in common shares. The Tranche 2 Warrants entitle the holders to purchase up to 25.0% of the number of common shares of the Company into which the principal amount of the Tranche 2 Debentures purchased by the holders are convertible at the initial fixed conversion price at any time before the second anniversary of the Tranche 2 Debenture closing date ( April 11, 2019 ). they will be able to extned out the exercising of Tranche 2 warrants dillution the cost out into 2019.
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