Divestco Inc.

Divestco Inc.

October 09, 2014 17:15 ET

Divestco Consolidates Shareholder Loans

CALGARY, ALBERTA--(Marketwired - Oct. 9, 2014) - On September 29, 2014, Divestco Inc. (TSX VENTURE:DVT) ("Divestco" or the "Company") entered into two loan agreements, which consolidated all prior loans (the "Shareholder Loans") with three directors of the Company (the "Directors"). As of the date hereof, the Company owes $5.7 million to the Directors. The Shareholder Loans bear interest at varying rates of 10% and 12% per annum and are secured by way of registered security pursuant to the Personal Property Security Act (Alberta). The Shareholder Loans are subordinated to the Company's senior lender, payable on demand and have no maturity date. However, should $1.6 million of the Shareholder Loans extend beyond December 31, 2014, the Directors will have the right to convert this portion of the Shareholder Loans into an ownership interest in the Company's seismic data library, subject to the approval of the TSX Venture Exchange and provided the Company's senior debt has been fully repaid.

About the Company

Divestco provides innovative geoscience solutions to Energy and Service companies worldwide. Our customers predominantly operate in geology, geophysics, land and engineering and we work with our clients to ensure they have the right solutions, at the right time, to help them make more informed decisions. Commitment, innovation, accountability and agility form the cornerstone of our values and enable us to consistently provide reliable solutions and exceptional, personalized service in all of the core areas in which we operate. Divestco provides Software & Data, Seismic Processing, Geomatics Services, Seismic Data & Brokerage, and Land Services. Divestco is headquartered in Calgary and trades on the TSX Venture Exchange under the symbol "DVT".

Additional information on the Company is available on its website at Divestco.com and on SEDAR at sedar.com.

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 news release.

Forward-Looking Information and Statements

Certain statements in this press release may include "forward-looking" information, which involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements of Divestco to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information or statements. When used in this press release, such statements may use such words as "may", "will", "expect", "anticipate", "project", "believe", "plan", and other similar terminology. The risks and uncertainties are detailed from time to time in continuous disclosure documents filed by Divestco with securities regulatory authorities. New risk factors may arise from time to time and it is not possible for management to predict all of those risk factors or the extent to which any factor or combination of factors may cause actual results, performance and achievements of Divestco to be materially different from those contained in forward-looking information or statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. The forward-looking information and statements contained in this press release speak only as of the date of this press release, and Divestco does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable laws.

Contact Information

  • Divestco Inc.
    Mr. Stephen Popadynetz
    CEO and President

    Divestco Inc.
    Mr. Danny Chiarastella
    Vice President, Finance