/NOT FOR DISTRIBUTION TO UNITED
STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES/
![Filo Mining Corp. (CNW Group/Filo Mining Corp.) Filo Mining Corp. (CNW Group/Filo Mining Corp.)](https://mma.prnewswire.com/media/1180200/Filo_Mining_Corp__Filo_Mining_Announces_Replacement_Credit_Facil.jpg)
VANCOUVER, BC, June 12, 2020 /CNW/ - Filo Mining
Corp. (TSXV: FIL) (NASDAQ: FIL) ("Filo
Mining", or the "Company") is pleased to announce that
it has entered into a replacement US$5,000,000 credit facility (the "Replacement
Facility"), which will be evidenced by a debenture (the
"Debenture"), to provide additional financial flexibility to
fund the Company's ongoing work programs and provide general
working capital. The Replacement Facility replaces an existing
credit facility provided by the Lender, and which matures on
July 12, 2020. The outstanding
balance owing to the Lender under the existing facility as of
July 12, 2020, if any, will be
transferred and will form part of the amount owing under the
Replacement Facility. The Replacement Facility has a term of
12 months ending July 12, 2021 (the
"Maturity Date"). No interest is payable during the term of
the Debenture, however, any amount of the Replacement Facility
remaining unpaid and outstanding on or after the Maturity Date
shall bear interest at a rate of 5.00% per annum until repaid in
full. PDF Version.
The Replacement Facility has been issued by Zebra Holdings and
Investments S.à.r.l. (the "Lender"), a company controlled by
a trust settled by the late Adolf H.
Lundin, and an insider of the Company. The terms of the
Replacement Facility include the Company issuing to the Lender,
subject to approval of the TSX Venture Exchange, 480 common shares
of Filo Mining (the "Common Shares") per month for each
US$50,000 of the Replacement Facility
outstanding from time to time up to the Maturity Date. All
securities issued in conjunction with the Replacement Facility will
be subject to a four-month hold period under applicable securities
law.
The issuance of Common Shares to an insider and the entering
into of the Debenture each constitute a "related party
transaction", as defined under Multilateral Instrument 61-101
("MI 61-101"). The transactions will be exempt from the
formal valuation and minority shareholder approval requirements of
MI 61-101 as neither the fair market value of any shares issued to,
or the consideration paid for, the Debenture will exceed 25% of the
Company's market capitalization.
This news release does not constitute an offer to sell or a
solicitation of an offer to buy the securities described herein in
the U.S., or in any jurisdiction in which such an offer or sale
would be unlawful. The securities described herein have not been
and will not be registered under the U.S. Securities Act of 1933,
as amended, or any U.S. state securities laws and may not be
offered or sold in the U.S. or to the account or benefit of a U.S.
person or a person in the U.S. absent registration or an applicable
exemption from the registration requirements.
INVESTOR RELATIONS SERVICES
Filo Mining has retained PI Financial Corp. ("PI") to
provide Market Making services in accordance with TSX Venture
Exchange ("TSXV") policies. PI will trade securities of the
Company on the TSXV for the purpose of maintaining an orderly
market of Filo Mining's securities. In consideration of the
services provided, Filo Mining will pay PI a monthly cash fee of
CA$3,500. PI will not receive shares or options as compensation.
However, PI and its clients may have or may acquire a direct
interest in the securities of Filo Mining. Filo Mining and PI
are unrelated and unaffiliated entities. PI is a member of
the Investment Industry Regulatory Organization of Canada (IIROC) and can access all Canadian
Stock Exchanges and alternative trading systems. The capital
and securities required for any trade undertaken by PI as principal
will be provided by PI. The agreement will have a minimum
term of 3 months, upon which Filo Mining may terminate the
agreement on 30 days' notice.
ABOUT FILO MINING
Filo Mining is a Canadian exploration and development company
focused on advancing its 100% owned Filo del Sol copper-gold-silver
deposit located in Chile's Region
III and adjacent San Juan Province, Argentina. Filo Mining is listed on the TSXV
and Nasdaq First North Growth Market under the trading symbol
"FIL". Filo Mining is a member of the Lundin Group of
Companies.
ADDITIONAL INFORMATION
The Company's certified advisor on Nasdaq First North Growth
Market is Pareto Securities AB, +46 8 402 50 00,
certifiedadviser.se@paretosec.com.
Neither the TSXV nor its Regulation Services Provider (as that
term is defined in the policies of the TSXV) accepts responsibility
for the adequacy or accuracy of this news release.
The information contained in each Filo Mining news release was
accurate at the time of dissemination but may be superseded by
subsequent news release(s).
The information in this release is subject to the disclosure
requirements of Filo Mining under the EU Market Abuse Regulation.
This information was submitted for publication, through the agency
of the contact person set out below, on June
12, 2020 at 17:00 Eastern
Time.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain statements made and information contained herein in the
news release constitutes "forward-looking information" and
"forward-looking statements" within the meaning of applicable
securities legislation (collectively, "forward-looking
information"). The forward-looking information contained in this
news release is based on information available to the Company as of
the date of this news release. Except as required under applicable
securities legislation, the Company does not intend, and does not
assume any obligation, to update this forward-looking information.
Generally, this forward-looking information can frequently, but not
always, be identified by use of forward-looking terminology such as
"plans", "expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates" or
"does not anticipate", or "believes", or variations of such words
and phrases or statements that certain actions, events, conditions
or results "will", "may", "could", "would", "might" or "will be
taken", "occur" or "be achieved" or the negative connotations
thereof. All statements other than statements of historical fact
may be forward-looking statements.
Statements relating to "mineral resources" are deemed to be
forward-looking information, as they involve the implied
assessment, based on certain estimates and assumptions that the
mineral resources described can be profitably produced in the
future.
The forward-looking statements contained in this news release
are made as at the date of this news release and Filo does not
undertake any obligations to publicly update and/or revise any of
the included forward-looking statements, whether as a result of
additional information, future events and/or otherwise, except as
may be required by applicable securities laws.
Forward-looking information is provided for the purpose of
providing information about management's current expectations and
plans and allowing investors and others to get a better
understanding of the Company's operating environment.
Forward-looking information is based on certain assumptions that
the Company believes are reasonable, including that the current
price of and demand for commodities will be sustained or will
improve, the supply of commodities will remain stable, that the
general business and economic conditions will not change in a
material adverse manner, that financing will be available if and
when needed on reasonable terms and that the Company will not
experience any material labour dispute, accident, or failure of
plant or equipment. These factors are not, and should not be
construed as being, exhaustive. Although the Company has attempted
to identify important factors that would cause actual results to
differ materially from those contained in forward-looking
information, there may be other factors that cause results not to
be as anticipated, estimated, or intended. There can be no
assurance that such statements will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. All the forward-looking information
contained in this document is qualified by these cautionary
statements. Readers are cautioned not to place undue reliance on
forward-looking information due to the inherent uncertainty
thereof.
![Filo Mining Announces Replacement Credit Facility (CNW Group/Filo Mining Corp.) Filo Mining Announces Replacement Credit Facility (CNW Group/Filo Mining Corp.)](https://mma.prnewswire.com/media/1180196/Filo_Mining_Corp__Filo_Mining_Announces_Replacement_Credit_Facil.pdf?p=pdfthumbnail)
SOURCE Filo Mining Corp.