VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 3, 2013) -
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EastCoal Inc. (TSX VENTURE:ECX)(AIM:ECX) (the "Company" or "EastCoal"), announces that the Company has issued 88,271 common shares ("New Shares") as full settlement for CAN$17,095.89 of accrued interest due pursuant to the terms of a CAN$2,000,000 loan (the "Loan") provided by Salida Capital LP ("Salida"), (on behalf of a fund managed by Salida), to the Company. The New Shares are to be issued at a deemed conversion price of £0.1221 pence per common share.
Application has been made for admission of the New Shares to trading on AIM and it is expected that trading in the New Shares will commence on AIM on 4 January 2013.
As set out in the Company's Admission Document, dated 21 December 2012, Salida (on behalf of a fund managed by Salida) had agreed to convert the Loan, together with any accrued but unpaid interest, into common shares upon EastCoal's admission to AIM. In accordance with this, on 28 December 2012, the Loan was settled in full through the issuance of 10,326,577 common shares of the Company.
Following admission of the New Shares, the Company will have 325,657,188 common shares in issue, which will represent the total number of voting rights in the Company. This figure should be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FSA's Disclosure and Transparency Rules.
Neither the 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.