TORONTO, May 14, 2019 (GLOBE NEWSWIRE) -- Duncan Park Holdings Corporation ("Duncan Park" or the "Company") announced today the closing of its previously announced debt settlement transaction ("Debt Settlement Transaction"), pursuant to which it has satisfied the payment of certain debt in the aggregate of $438,653.29 through the issuance of 1,462,178 common shares of the Company ("Debt Settlement Shares").
Pursuant to the Debt Settlement Transaction, the Company issued 1,006,630 Debt Settlement Shares to the Estate of Ian McAvity (the "Estate") as payment for loans in the aggregate amount of $301,991.05 (principal of $250,000 plus accrued interest of $51,991.05). In addition, the Company issued 455,548 Debt Settlement Shares to Eric P. Salsberg, the Chairman and a director of the Company, as payment for loans in the aggregate amount of $136,662.24 (principal of $116,000 plus accrued interest of $20,662.24). The unsecured loans, which bore interest at a rate of 5% per annum, had been made to the Company by Mr Salsberg and the late Ian McAvity, the former President and a director of the Company, in tranches over time to help fund the Company's ongoing working capital requirements.
As previously announced, the Estate and Mr. Salsberg have agreed to subsequently sell the Debt Settlement Shares to certain investors, including certain subscribers to the Company's October 2018 private placement of debentures, at a price equal to 20% of the principal amount of the debt and accrued interest.
The Debt Settlement Shares were issued at a price of $0.30 per share and are subject to a four month hold period.
For further information, please contact:
Acting President and CEO
Duncan Park Holdings Corporation
Tel: (775) 746-2071