VANCOUVER, BRITISH COLUMBIA--(Marketwired - Aug. 8, 2016) -
THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES FOR DISSEMINATION IN THE UNITED STATES
Javelle Capital Corp. (the "Company") (TSX VENTURE:JVL.H) announces that the board of directors have approved a consolidation of the Company's issued and outstanding common shares on the basis of one (1) new common share for every five (5) existing common shares (the "Consolidation").
The Consolidation will affect all shareholders uniformly (except for the treatment of post consolidated fractional common shares, as noted below) and will not affect any shareholder's proportional ownership interest in the Company. The principal effects of the Consolidation will be that the number of common shares issued and outstanding will be reduced from approximately 5,496,000 pre-consolidation common shares outstanding as of the date hereof to approximately 1,099,200 post-consolidated common shares.
No fractional post-consolidation common shares will be issued. Any fractional common shares resulting from the Consolidation will be rounded down to the nearest whole common share. The exercise or conversion price and the number of common shares issuable under any convertible securities of the Company will be proportionately adjusted to account for the Consolidation. The completion of the Consolidation is subject to the approval of the TSX Venture Exchange ("TSX-V").
Upon receipt of approval from the TSX-V for the Consolidation, the Company will proceed with a non-brokered private placement of up to 7,333,333 common shares (the "Shares") at $0.075 per Share for gross proceeds of up to $550,000 (the "Offering").
Closing of the Offering is subject to a number of conditions, including receipt of all necessary corporate and regulatory approvals, including the TSX-V. All securities issued in connection with the Offering will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation. The proceeds from the Offering will be used for general working capital.
ON BEHALF OF THE BOARD OF JAVELLE CAPITAL CORP.
Donald Gee, President and CEO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.