TORONTO, ONTARIO--(Marketwire - Oct. 10, 2012) - MagIndustries Corp. (TSX:MAA) (the "Company" or "MagIndustries") is pleased to announce that the disinterested shareholders of the Company approved the conversion feature of the previously announced (see press release dated August 22, 2012) $50.6 million loan by Evergreen Resources Holdings (BVI) Ltd. ("Evergreen") at the special meeting of shareholders held on October 9, 2012.
Pursuant to the conversion feature, Evergreen will have the option to convert the loan plus accrued interest into common shares at a deemed conversion price of approximately $0.1713 per share which, if the loan is converted in full, would result in the issuance of 295,770,211 shares of MagIndustries. Such a conversion would result in Evergreen's ownership interest in MagIndustries increasing from approximately 77% to approximately 86%. The conversion feature remains subject to final regulatory approval.
About MagIndustries Corp.
MagIndustries is a Canadian company whose common shares are listed on the TSX and trades in Canadian currency under the symbol "MAA". The Company has 460,172,463 shares outstanding on an undiluted basis. MagIndustries is focused on the development of its potash assets in the Republic of Congo. More information on the Company is available on its website, www.magindustries.com.
Except for historical information, this press release contains forward-looking statements, which reflect the Company's current expectation regarding future events. These forward-looking statements involve risks and uncertainties, which may cause actual results to differ materially from those statements. Those risks and uncertainties include, but are not limited to, changing market conditions, and other risks detailed from time-to-time in the Company's ongoing filings. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking events in this press release might not occur.
Cusip: 55917T 102