Mission Ready Engages First Republic Capital to Facilitate $1.5MM Convertible Debenture Financing

Mission Ready Services Inc. (“Mission Ready” or the “Company”) (TSX VENTURE: MRS) announced today that it has entered into an agreement with First Republic Capital Corporation (the “Agent”) pursuant to which the Company will issue, on a brokered private placement basis (the “Offering”), up to CAD $1.5MM aggregate principal amount of secured convertible debentures (the “Debentures”).

The Debentures will bear interest from the date of closing at 10% per annum, paid annually upfront in common shares in the capital of the Company (each a “Share”) at a price per Share equal to the 10-day volume weighted average price of the Shares on the TSX Venture Exchange prior to the date upon which the investors make each investment. The Debentures will have a maturity date of 24 months from the Closing Date of the Offering (the “Maturity Date”). Net proceeds from the Offering will be used for the advancement of the Company’s manufacturing business, product development initiatives, and for general working capital purposes.

At the Maturity Date, the Company will repay the Debentures in full plus accrued and unpaid interest. Each Debenture shall be convertible, at the option of the Debenture holder, in whole or in part, into Shares (a “Debenture Share” or the “Debenture Shares”) in the capital of the Company at any time before the Maturity Date at a price of $0.10 per Debenture Share (the “Conversion Price”). If at any time prior to the Maturity Date the Company issues Shares at a price below $0.10 per Share, the Conversion Price shall be automatically reduced to match the issue price of the Shares. The Company acknowledges that without the prior written consent of the Debenture holder, which consent may be withheld by the Debenture holder in his or its sole discretion, the Company may not issue any securities of the Company at an issue price (the “Issue Price”) of less than $0.10 per Share unless the Company obtains the written consent of the TSX Venture Exchange to the reduction of the Conversion Price to the Issue Price or other arrangements wholly satisfactory to the Debenture holder are made.

For more information, click here.