Diadem Announces Sale of Second Debenture.TORONTO--(BUSINESS WIRE)--Sept. 11, 1997--Diadem Resources Ltd (ME DIR.)--DIADEM RESOURCES LTD. (DIR.ME) announces the sale of a second unit in a series of unsecured convertible debentures Convertible Debenture Any type of debenture that can be converted into some other security. Notes: For example, a convertible bond can be converted into stock. . As outlined in the July 28th press release, H&H Securities Limited was engaged to assist Diadem diadem, in ancient times, the fillet of silk, wool, or linen tied about the head of a king, queen, or priest as a distinguishing mark. Later, it was a band of gold, which gave rise to the crown. In heraldry, the diadem is one of the arched bars that support the crown. in the sale, by private placement, on a best efforts basis, of up to CDN (Content Delivery Network) A system of distributed content on a large intranet or the public Internet in which copies of content are replicated and cached throughout the network. $3.0 million to $5.0 million of unsecured convertible debentures. This second unit consists of a three-year, CDN $500,000 unsecured convertible debenture, and a right to acquire common share purchase warrants upon conversion. The debenture debenture (dəbĕn`chər), document acknowledging indebtedness. In Great Britain a debenture is practically the same as a bond, and debenture stock is similar to preferred stock. is convertible at the option of the holder into Diadem common shares at any time on or after Nov. 27, 1997, in whole or in part, at a conversion price to be determined, if or when the purchaser elects to exercise its rights by a calculation of the ten-day average trading price Trading price The price at which a security is currently selling. of the common shares as traded on the Montreal Exchange Montreal Exchange A Canadian derivatives exchange that facilitates the trading of stock options, interest rate futures and options, as well as index options and futures. Located in Montreal, Quebec, it is the country's main financial derivative market, while the Winnipeg at the time the conversion rights are exercised. Interest on the debenture at an annual rate of 8% is payable semi-annually in cash or at Diadem's option, in Diadem common shares. The warrants will entitle the holder to purchase common shares of Diadem at a price of $1.07, in a quantity to be determined in conjunction with the determination of the conversion price, as described above, until 5:00 p.m. Aug. 29, 1999. Diadem Resources Ltd. is a Toronto-based mineral exploration company with interests in gold properties in Nicaragua; an advanced zinc project in Indonesia; zinc, copper-nickel-cobalt properties in Quebec-Labrador; and a diamond discovery in California. CONTACT: Diadem Resources Ltd. Lina Noble, 416/364-2893 416/286-0795 (FAX) |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion