CoTec Converts $4M Convertible Loans

CoTec Holdings announced the drawdown of $4,000,000 from its amended and restated convertible loan facilities with Kings Chapel International Limited and Epic Capital Management The proceeds are designated for general working capital. Following the drawdown, and after receiving final approval from the TSX Venture Exchange, CoTec Holdings exercised its right to convert the entire outstanding principal amount into 3,007,518 common shares at a price of $1.33 per share. Kings Chapel International Limited received 2,255,639 common shares and Epic Capital Management received 751,879 common shares. Additionally, CoTec Holdings issued 1,503,758 warrants to the lenders, allowing them to purchase common shares at $1.33 per share for one year. The transaction with Kings Chapel International Limited, an existing insider, was identified as a related party transaction but was exempt from formal valuation and minority shareholder approval requirements under MI 61-101.