Oakwest Corporation Limited

February 09, 2016 17:04 ET

Oakwest Corporation Limited Announces Acquisition of Convertible Debentures of Rainmaker Entertainment Inc.

TORONTO, ONTARIO--(Marketwired - Feb. 9, 2016) - Oakwest Corporation Limited ("Oakwest") has filed an early warning report (the "Report") announcing that, on February 5, 2016, it acquired ownership and control over $483,000 principal amount (the "Acquired Securities") of unsecured convertible debentures (the "Debentures") of Rainmaker Entertainment Inc. (TSX VENTURE:RNK) (the "Corporation") that, if converted, would represent approximately 12.1% of the currently issued and outstanding common shares ("Shares") of the Corporation on a partially diluted basis. The Acquired Securities were acquired pursuant to a private trade at a price of $1,200 per Debenture. Concurrent with entering into the private agreement to purchase the Acquired Securities, Oakwest entered into a private agreement to sell 2,417,114 Shares at a price of $0.24 per Share.

Immediately following the transactions noted above, Oakwest owns $1,047,000 principal amount of Debentures. Such Debentures mature on March 31, 2016 (the "Maturity Date") and are convertible at any time prior to the Maturity Date into an aggregate 5,235,000 Shares at a price of $0.20 per Share. Assuming full conversion of the Debentures, Oakwest would directly or indirectly exercise direction and control over an aggregate of 5,235,000 Shares, representing approximately 23% of the then issued and outstanding Shares (on a partially diluted basis).

The Acquired Securities were acquired for investment purposes. Oakwest has a long-term view of the investment and does not intend at this time to acquire additional Shares, but may acquire additional Shares either on the open market or through private acquisitions or sell the Shares either on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors.

For further details relating to the Acquisition, please see the Report, a copy of which is available on SEDAR. A copy of the Report may also be obtained by contacting Mr. Robert Beutel at 416.923.6300.

Contact Information

  • Mr. Robert Beutel
    416.923.6300