CALGARY, Oct. 1, 2018 /CNW/ - Zedcor Energy Inc. (the
"Company" or "Zedcor") (TSX VENTURE: ZDC) is pleased to announce
that effective September 28, 2018, it
has amended the Amended and Restated Loan and Security Agreement
(the "Agreement") with Maynbridge Capital Inc. to extend the
maturity date of the Agreement to March 28,
2019 in the principal amount of $15,937,750. The current loan amount
reflects a repayment of debt since March 28,
2018 of $1,562,250 funded
primarily through the sale of under-utilized assets. The
renewed Agreement continues to bear interest at 12.75%, has an
extension fee of 3%, and will be serviced by six months of interest
only payments. In addition, the Company amended its Warrant
Agreement with Maynbridge to decrease the exercise price to
$0.20 per share from $0.27 per share and to extend the expiry date of
the warrants by six months to January 21,
2021. Pursuant to the Agreement, and in connection with the
foregoing extension of the maturity date, the Company also issued
to Maynbridge an additional 248,209 warrants to purchase common
shares at an exercise price of $0.20
per share expiring January 22,
2021.
Dean Swanberg, Interim CEO,
stated "This financing extension will continue to give Zedcor the
flexibility we need to respond to market opportunities during the
next six months. We continue to market and sell our under-utilized
assets and use the proceeds to pay down debt consistent with our
strategy to strengthen our balance sheet."
Forward-Looking Statements and Information
Certain
statements included or incorporated by reference in this press
release constitute forward-looking statements or forward-looking
information. Forward-looking statements or information may contain
statements with the words "anticipate", "believe", "expect",
"plan", "intend", "estimate", "propose", "budget", "should",
"project", "or similar words suggesting future outcomes or
expectations. In particular, forward-looking statements and
information contained in this press release, include, but are not
limited to, Zedcor's plans to continue to market and sell
under-utilized assets and to use the proceeds to pay down debt.
Although the Company believes that the expectations implied in such
forward-looking statements or information are reasonable, undue
reliance should not be placed on these forward-looking statements
because the Company can give no assurance that such statements will
prove to be correct. Forward-looking statements or information are
based on current expectations, estimates and projections that
involve a number of assumptions about the future and uncertainties.
Although management believes these assumptions are reasonable,
there can be no assurance that they will be proved to be correct,
and actual results will differ materially from those anticipated.
For this purpose, any statements herein that are not statements of
historical fact may be deemed to be forward-looking statements. The
forward-looking statements or information contained in this press
release are made as of the date hereof and the Company assumes no
obligation to update publicly or revise any forward-looking
statements or information, whether as a result of new contrary
information, future events or any other reason, unless it is
required by any applicable securities laws. The forward-looking
statements or information contained in this press release are
expressly qualified by this cautionary statement.
About Zedcor Energy Inc.
Zedcor Energy Inc. is a
Canadian public corporation and parent company to Zedcor Energy
Services Corp. ("Zedcor Corp."). Zedcor Corp. is engaged in the
rental of surface equipment and accommodations to the Western
Canadian Oil and Gas Industry. The Company trades on the TSX
Venture Exchange under the symbol "ZDC".
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Zedcor Energy Inc.