On April 12, 2013, the TSX Venture Exchange (“TSXV”) extended its policies permitting listed issuers to price private placement financings below previously mandated pricing floors. Since August 2012, the TSXV has permitted companies whose share price is below $0.05 to price share or unit offerings at market, to price debenture conversions at below $0.10, and to issue offerings with warrant exercise prices below $0.10 (the “Relief Measures”). Now, in recognition of the difficulties in financing venture issuers in current market conditions, the TSXV will also permit these types of financing to be conducted by insiders for up to $200,000 in proceeds. Arm’s length investors are not required, however CPCs are not permitted to rely on the Relief Measures.
TSXV Extends Temporary Measures to Match Tough Financing Conditions
By Legal Newsletters | BC's Law Firm for Business | Clark Wilson LLP of Clark Wilson on April 19th, 2013
Posted in Legal Updates | North America