CALGARY, Alberta, Dec. 21, 2018 (GLOBE NEWSWIRE) — Marksmen Energy Inc. (“Marksmen” or the “Company”) (TSX: MAH) (OTCB: MKSEF) announces that it has reached an agreement in principal to complete a non-brokered private placement of a non-convertible secured debenture (“Debenture”) for gross proceeds of $1,250,000 (the “Offering”) and issue 1,800,000 share purchase warrants of the Company (the “Warrants”). Each whole Warrant entitles the holder thereof to purchase one common share of the Company for $0.24 per share if the Debenture is paid in full by April 30, 2019 and at $0.22 thereafter per share expiring on December 31, 2019. The Debenture is being issued to replace the outstanding $1,250,000 debenture which expires December 31, 2018 and shall bear interest at 12% per annum and shall mature on December 31, 2019. The terms of the Debenture, other than the maturity date, are the same as the debenture that is being replaced.
The subscriber to the Offering is expected to be a company controlled by Mr. Glenn Walsh, an insider of Marksmen and the Offering is expected to close in early January 2019. Completion of the Offering is subject to regulatory approval, including the approval of the TSX Venture Exchange Inc. The securities issued will be subject to a four months hold period from the date of the closing of the Private Placement.
Marksmen also announces the granting of a stock option to purchase 100,000 common shares of the Company to a director subject to regulatory approval. The option was issued with an exercise price of $0.185 per share, vests as to one third (1/3) immediately and one-third (1/3) on each of the first and second anniversaries of the grant date and has a five year term from the date of issuance.