TORONTO, ON --(Marketwired - July 04, 2016) - Due to the rapid organic growth of Distinct Infrastructure Group Inc.'s ("Distinct" or the "Company") (TSX VENTURE: DUG) core business, which has surpassed the expectations of the Company and of Crown Capital Fund IV LP ("Crown"), Distinct and Crown found it necessary to amend certain terms of the $20 million acquisition line (the "Loan"), as previously announced in the Company's press release dated November 25, 2015.
Pursuant to an amending agreement dated June 30, 2016 (the "Amending Agreement") certain financial covenants were amended and the interest rate was adjusted such that it will range between 10% to 12%. In consideration for the amendments, the Company has agreed, subject to regulatory approval, to issue an aggregate of 2 million common shares at a price of $0.125 per share to Crown.
Joe Lanni and Alex Agius, Co-Chief Executive Officers of Distinct stated, "We are pleased to have Crown as our partner and to be working with them as the Company continues to grow its core business. The Loan gave the Company the necessary financial resources to finance its growth, which has positioned the Company to continue its rapid growth. The amendment to the Loan has given Distinct the financial flexibility to manage its growth so that it will the financial resources in place to take advantage of the unprecedented amount of capital expenditures being undertaken by Canada's telecom companies
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
This news release contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "anticipated", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Inspiration is subject to significant risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward looking statements contained in this release. Inspiration cannot assure investors that actual results will be consistent with these forward looking statements and Inspiration assumes no obligation to update or revise the forward looking statements contained in this release to reflect actual events or new circumstances.
For further information please contact:
Chief Financial Officer
Distinct Infrastructure Group Inc.Email: firstname.lastname@example.org