MONTRÉAL, CANADA--(Marketwired - April 7, 2017) - Palos Merchant Fund L.P. ("Palos") announced today it has transferred ownership of (i) 4,000,000 common shares ("Common Shares") of VVC Exploration Corporation (the "Issuer") to Maite Del Campo Morelli pursuant to a Securities Purchase Agreement dated April 6, 2017 between Palos and Maite Del Campo Morelli (the "Maite Transfer") and (ii) 1,920,000 Common Shares of the Issuer to Jean Guy Savard pursuant to a Securities Purchase Agreement dated April 6, 2017 between Palos and Jean Guy Savard (the "Savard Transfer" and together with the Maite Transfer, the "Transfers").
In exchange for the Maite Transfer, Maite Del Campo Morelli assigned to Palos, pursuant to an Assignment of Debt Agreement dated April 6, 2017, between Palos and Maite Del Campo Morelli (the "Maite Assignment of Debt"), a debt of 1,295,000 mexican pesos owed to him by Covemin S.A. de C.V.
In exchange for the Savard Transfer, Jean Guy Savard assigned to Palos, pursuant to an Assignment of Debt Agreement dated April 6, 2017, between Palos and Jean Guy Savard (the "Savard Assignment of Debt" and collectively with the Maite Assignment, the "Assignments of Debt"), a debt of US$36,000 owed to him by Covemin S.A. de C.V.
The Common Shares, sold at a deemed price of $0.0238 per Common Share, represent approximately 3.26% of the Issuer's issued and outstanding Common Shares.
Prior to the Transfers, Palos held 21,218,922 Common Shares, debentures convertible into 1,500,000 Common Shares and warrants exercisable into an additional 1,200,000 Common Shares representing approximately 12.97% of the Issuer's issued and outstanding Common Shares, on a partially diluted basis.
Following the Transfers, Palos will continue to own 15,298,922 Common Shares, debentures convertible into 1,500,000 Common Shares and warrants exercisable into an additional 1,200,000 Common Shares representing approximately 9.76% of the Issuer's issued and outstanding Common Shares, on a partially diluted basis.
The Common Shares were sold by Palos pursuant to a private transaction. In exchange for the Transfers, Palos acquired the Assignments of Debt. Palos sold the Common Shares for investment purposes only, however, Palos will review its holdings from time to time and may in the future and in accordance with applicable securities laws, increase or decrease its investment in the Issuer by acquiring or disposing of other securities of the Issuer, through the market, privately or otherwise, depending on market conditions or any other relevant factors.
The issuance of this news release is not an admission that an entity named in this news release owns or controls any described securities or is a joint actor with another named entity.
A report with respect to the sale of the Common Shares will be electronically filed and will be available for viewing through the Internet at the Canadian System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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