Clarocity issues 825,000 shares for interest payments

2017-01-04 17:53 ET - News Release

Mr. Shane Copeland reports

CLAROCITY CORPORATION APPROVES ISSUANCE OF SHARES IN LIEU OF INTEREST PAYMENTS

Holders of Clarocity Corp.'s debentures issued May 9, 2013, have elected to receive an aggregate of 825,000 common shares in lieu of cash as consideration for interest payments amounting to $90,750 due Dec. 31, 2016.

Under the terms of the indenture dated May 9, 2013, holders may elect to receive settlement of semi-annual interest payments in the equivalent common shares of the company converted at the greater of the market price prescribed under the policies of the TSX Venture Exchange or the volume average trading price for the five trading days prior to the interest payment date. The conversion rate applicable to the Dec. 31, 2016, interest rate payment is 11 cents per common share. Following the issuance, the company will have 205,048,709 issued and outstanding shares.