| ||April 22, 2013|
MBMI Launches Private Placement of Convertible Debentures
| ||Richmond Hill, Ontario, April 22, 2013 -- MBMI RESOURCES INC. (the "Company") (TSX-V: MBR) announces that it is launching a private placement (the "Private Placement") of convertible debentures ("Debentures") in which it will seek to raise up to $500,000.|
The Debentures proposed to be issued would accrue interest at a rate of 12% per annum and would mature one year after issuance. The principal amount of the Debentures would be convertible at the option of the holder into units ("Units") at a deemed price of $0.05 per Unit. Each Unit would be comprised of one common share of the Company and one-half of one warrant ("Warrant"), each whole Warrant being exercisable for one common share at a price of $0.10 per share for a period of one year after the Debenture conversion.
Finders or agents may be entitled to receive finder's fees of up to 5% of the principal of the Debentures placed (such fee to be payable in shares ("Finder's Shares") with a deemed price of $0.10 per share) and a number of finder's warrants ("Finder's Warrants") equal to 5% of the number of common shares that would be issued upon conversion of the Debentures placed. Each whole Finder's Warrant would be exercisable to acquire one common share at a price of $0.10 per share for a period of two years.
Up to $50,000 of the proceeds raised in the Private Placement will be used for general working capital purposes, with the balance to be used for payment of the Company's expenses for its ongoing operations and obligations in the Philippines and its management operations in Canada, as well as to pay accrued indebtedness of the Company to parties that are not related parties of the Company.
The Private Placement is subject to the approval of the TSX Venture Exchange and, if so approved, would be completed in reliance upon certain of the temporary relief measures instituted by the TSX Venture Exchange.
For further information relating to the Company or this release, please refer to the Company's website at www.mbmiresources.com or contact John Wong, President and CEO by telephone at 905-886-3888 or by email at firstname.lastname@example.org.
Neither the 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. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
The foregoing information may contain forward-looking statements relating to the future performance of MBMI Resources Inc. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially from the Company's plans and expectations. These plans, expectations, risks and uncertainties are detailed herein and from time to time in the filings made by the Company with the TSX Venture Exchange and securities regulators. MBMI Resources Inc. does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.
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