yes but that's not the point, if you read the agreement this step is devastating: Under the terms of the Securities Purchase Agreement, the Company will complete a private placement offer under Section 4 (a) (2) of the Securities Act of 1933, as amended (the "Securities Act"), and / or Rule 506 enacted under it (the "Private Placement Offer") up to $ 1,512,500.00 of the value face value of convertible collateralised bills (the "Bonds") and Common Share Purchase Warrants for up to 756,250,000 BRGO common shares (the "Warrants") at a price of $ 1,375,000.00, representing a discount original issue of 10%, (the "Purchase Price"), subject to the terms and conditions set forth in the BRGO Transaction Documents, including the Warranty, Security Agreement and Registration Rights Agreement.
The convertible collateralised subordinated notes (the "Notes") to be issued to Buyers each have a maturity of one (1) year, with a maturity date of 11 February 2022, and bear interest of 10%, which must be paid quarterly to the Holders. The Bonds are convertible into BRGO Common Shares at a fixed conversion price of $ 0.0015, and Holders of the Bonds may convert all or a portion of the Bonds into Common Shares of the Company at any time, subject only to the limitation of beneficial ownership of each. Buyer up to 9.99% of the issued and outstanding shares of BRGO common stock. The Bonds are redeemable by the Company, subject to the Redemption Procedure in Section 6 and the formula detailed in Annex 6 (a) thereof.
Warrants to purchase common stock (the "Warrants") to be issued to Buyers have an exercise price of $ 0.002 (the "Strike Price") and such Buyers may exercise the Warrants for a period of Five (5). years, up to the Maturity Date and in the manner established therein, which includes a cashless Exercise provision, subject to the limitation of the beneficial ownership of each Buyer up to 9.99% of the total of the Company's ordinary shares issued and in circulation . Warrants are non-refundable by the Company.
