Lo­gan Re­sources to merge with Voleo

Stockwatch Daily - - MINES & METALS - Mr. Richard Grayston re­ports

LO­GAN RE­SOURCES Ltd. has en­tered into an agree­ment with Voleo Inc. with re­spect to a busi­ness com­bi­na­tion of Voleo and Lo­gan. Voleo is a mo­bile-fo­cused fin­tech ap­pli­ca­tion com­pany. Its mis­sion is to cre­ate a so­cial in­vest­ment net­work en­hanc­ing con­nec­tiv­ity, trans­parency, con­ve­nience and col­lab­o­ra­tion among in­vestors. Voleo’s eq­uity trad­ing plat­form op­er­ates on mo­bile ap­pli­ca­tions avail­able on iOS and An­droid smart phone de­vices plus a com­pan­ion Web app. Voleo’s sub­sidiary, Voleo USA Inc., is reg­is­tered as a bro­ker dealer with FINRA (the Fi­nan­cial In­dus­try Reg­u­la­tory Author­ity) and the Se­cu­ri­ties and Ex­change Com­mis­sion.

Voleo’s cryp­tocur­rency trad­ing plat­form will be launched in 2018.

Di­rectly from their mo­bile phones, tablets or com­put­ers, users are able to pro­pose, dis­cuss and vote on trades in pub­licly listed stocks and ETFs (ex­change-traded funds), wher­ever and when­ever they want, with the ma­jor­ity effecting trades au­to­mat­i­cally. In ad­di­tion to stock trad­ing, Voleo has suc­cess­fully tested and will launch a dig­i­tal cur­rency trad­ing plat­form for con­sumers.

Trans­ac­tion high­lights

The fol­low­ing are the high­lights of the terms and con­di­tions of the de­fin­i­tive agree­ment:

• Voleo is a com­pany in­cor­po­rated un­der the Canada Busi­ness Cor­po­ra­tions Act, with its head of­fice lo­cated in Van­cou­ver, B.C. Voleo car­ries out op­er­a­tions in the United States through its wholly owned sub­sidiary, Voleo USA.

• The re­sult­ing is­suer on the clos­ing of the trans­ac­tion will be a tech­nol­ogy is­suer.

• The com­pany shall com­plete a con­sol­i­da­tion of its is­sued and out­stand­ing com­mon shares on the ba­sis of one post­con­sol­i­da­tion com­mon share for ev­ery five pre­con­sol­i­da­tion com­mon shares.

• The ex­change ra­tio for the trans­ac­tion will be as fol­lows (sub­ject to ad­just­ment in cer­tain cir­cum­stances) each one is­sued and out­stand­ing Voleo com­mon share shall be con­verted into 1.7 com­mon shares of the com­pany.

• The trans­ac­tion will be struc­tured such that the out­stand­ing war­rants and stock op­tions of Voleo will au­to­mat­i­cally be­come ex­er­cis­able for or shall be ex­changed for shares of the com­pany.

• The trans­ac­tion is sub­ject to the fol­low­ing key con­di­tions:

• Voleo will com­plete a pri­vate place­ment for gross pro­ceeds of up to $10-mil­lion. Voleo may pay com­mis­sions or fin­ders’ fees in con­nec­tion the con­cur­rent fi­nanc­ing and may ap­point a bro­ker to as­sist with the

con­cur­rent fi­nanc­ing. The con­cur­rent fi­nanc­ing will close im­me­di­ately prior to or con­cur­rently with the trans­ac­tion. Fur­ther de­tails re­gard­ing con­cur­rent fi­nanc­ing will be an­nounced in a fur­ther news re­lease;

• The com­ple­tion of the shares-for-debt set­tle­ment.

• Prior to the clos­ing of the trans­ac­tion, Voleo may com­plete a bridge fi­nanc­ing for a max­i­mum of $750,000.

Shares-for-debt set­tle­ment

As a con­di­tion of the trans­ac­tion, ap­prox­i­mately $560,550 of debt due to King & Bay West Man­age­ment Corp. will be set­tled through the is­suance of 2,242,200 com­mon shares (post­con­sol­i­da­tion) at a deemed price of 25 cents per share. The board and man­age­ment o f the com pany be­lieve that the pro­posed shares-for-debt set­tle­ment is in the best in­ter­ests of Lo­gan as it will elim­i­nate a sig­nif­i­cant li­a­bil­ity for Lo­gan.

King & Bay is con­sid­ered to be a re­lated party. The com­pany is re­ly­ing on an ex­emp­tion from the for­mal val­u­a­tion and mi­nor­ity share­holder ap­proval re­quire­ments of MI 61-101.

We seek Safe Har­bor.

Erika Flores con­densed this news re­lease (erikaf@stock­watch.com).

Richard Wal­ter Grayston, Mark Lotz, Mark Joseph Mora­bito, Charles Ste­wart Wal­lis

(LGR) Shares: 42,737,750

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