TORONTO, ONTARIO--(Marketwired - May 30, 2014) -
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The Mint Corporation (TSX VENTURE:MIT) ("Mint" or the "Company") announces that it has filed its unaudited interim Financial Statements and its Management Discussion and Analysis for the quarter ended March 31, 2014. These documents are available on SEDAR at www.sedar.com under Mint's SEDAR profile.
Mint also announces the appointment of Vishy Karamadam to the board of directors of Mint. Mr. Karamadam is a director and Executive Vice President of Gravitas Financial Inc. ("Gravitas"). Shareholders of Mint recently approved a loan agreement between Mint and Gravitas and the right granted to Gravitas to convert the loan into common shares to become a new control person of Mint. So long as any money is owed under the loan, Gravitas has the right to nominate a director of Mint.
Mint also announces that it has completed the issuance of $406,000 of debentures (the "Series B Debentures") and 520,888 of warrants (the "Warrants"), in exchange for $514,941 of previously issued debentures of Mint (the "Old Debentures"). The issuance of Series B Debentures and Warrants occurred on a non-brokered private placement basis.
For every $1,250 of Old Debentures exchanged, a holder of Old Debentures received (i) $1,000 principal amount of Series B Debentures, plus (ii) 1,250 common share purchase Warrants plus one warrant for every $1.00. The number of Series B Debentures issued to subscribers was rounded down to the nearest $1000 and a holder of Old Debentures received one Warrant for every $1.00 of rounding. Old Debentures were valued at the amount of principal and interest owing under those debentures on the date of closing.
Details of the Series B Debentures are contained in the press release of the Company issued on March 12, 2014.
Each Warrant is exercisable for one common share of the Company at any time during the period ending March 7, 2017 at an exercise price of $0.25. The 520,888 Warrants referred to above are subject to a hold period expiring on October 1, 2014.
On May 16, 2014, the Company announced the issuance of 15,000 subscription receipts and the conversion of those and other subscription receipts into Series A Debentures. The issuance of the subscription receipts was a related party transaction under Multilateral Instrument 61-101 ("MI 61-101") because insiders of the Company subscribed for the 15,000 subscription receipts. The Company is exempt from the formal valuation requirement and shareholder approval requirement of MI 61-101. A material change report in respect of the Offering will be filed on SEDAR. A report could not be filed at least 21 days prior to closing as material information concerning the offering, including insider participation, was not then known by the Company.
GENERAL DISCLOSURE STATEMENT
Investors are encouraged to read the Management Discussion and Analysis Documents filed on SEDAR for a description of additional risks associated with investing in The Mint Corporation. The following statement is only intended to inform investors on certain of the many risks associated with investing in The Mint Corporation (the "Company"). The Company operates predominantly in the Middle East and North Africa ("MENA"). It is accordingly exposed to significant political, legal and regulatory risks associated with operating in these emerging and volatile markets. The key management personnel and operations of the Company are based in countries which do not have strong and reliable judicial enforcement. This results directly in additional risk with respect to the enforcement of legal and contractual rights, including, for example but without limitation, the enforcement of the rights of creditors, the protection of intellectual property rights, the enforcement of joint venture arrangements, and binding key employees with non-compete agreements. Since inception, the Company has not reached profitability. The Company relies heavily on high-cost, debt financing to fund its business plan. This has exposed the Company to unique financial risks associated with significantly higher than normal debt levels. Investors in the company are strongly encouraged to be aware of the significant risks of the company, to conduct additional due diligence and to seek the help of a licensed investment advisor before considering to invest in securities of the Company. Moreover, investors must be aware that the purchase of the Company's securities involves a number of additional significant risks and uncertainties, as disclosed in the Management Discussion and Analysis reports filed on SEDAR by the Company. Investors considering purchasing securities of the Company should be able to bear the economic risk of total loss of such investment.
Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events or Mint's future performance and include the possible further closing of Series B Debentures and Warrants in exchange for Old Debentures. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking statements. In addition to other risks, the Company would be unable to complete any additional closing of Series B Debentures and Warrants in exchange for Old Debentures if the Company does not receive stock exchange approval or if the Company receives no additional subscriptions. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved. Actual results could differ materially from those anticipated due to a number of factors and risks. Although the forward-looking statements contained in this news release are based upon what management of Mint believes are reasonable assumptions on the date of this news release, Mint cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and Mint disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
ABOUT THE MINT CORPORATION
Established in 2004, Mint is the world's first vertically integrated prepaid card and payroll services provider with its own ATM network, payment processing platform and proprietary branded card product delivered to workers in the United Arab Emirates and expanding to other parts of the Middle East. Mint operates through 4 subsidiaries, Mint Middle East LLC, a payroll card services provider; Mint Capital LLC, a financial products distribution company; Mint Global Processing Inc., a fully integrated third party processing platform; and MEPS, a mobile airtime POS and Merchant network solutions business.
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 RELEASE.
For additional information please visit www.mintinc.com.