Montreal, Quebec / TheNewswire / July 5, 2018 – St-Georges Eco-Mining Corp. (CSE: SX) (OTC: SXOOF) (FSE: 85G1) is pleased to announce that further to its press releases of January 7 and May 22, 2018 that its subsidiary, ZeU Crypto Networks Inc., closed an initial tranche of its 10% unsecured convertible debentures offering for an aggregate principal amounts of $5,063,692, of which $3,708,692 was subscribed in consideration of digital assets.
Each Convertible Debenture issued pursuant to this first tranche will have a maturity date of July 5, 2020 and be convertible into common shares of ZeU (each a “ZeU Share”) at a price of $1.00 (the “Conversion Price”).
There shall be no interest payable on the Principal Amount if ZeU effects a transaction pursuant to which it will become a “reporting issuer” under applicable Canadian Securities Laws and the ZeU Shares or the common shares of any resulting issuer would be listed and posted for trading on an recognized exchange, which may include, without limitation, an initial public offering, a reverse take-over or a merger with existing a reporting issuer (a “Liquidity Event”) on or before January 31, 2019 (the “Liquidity Event Deadline”). If there is not a Liquidity Event on or before the Liquidity Event Deadline then interest shall be deemed to accrue from and including July 5, 2018.
Upon the occurrence of a Liquidity Event, ZeU will be entitled to require the holders of Convertible Debenture to convert up to 25% of the Principal Amount outstanding, together with any accrued and unpaid interest owing thereon, into ZeU Shares at the Conversion Price.
