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MONACO , Jan. 6, 2020 /CNW/ - Mr. Eric Krafft announces that, in connection with a financing announced by Leading Edge Materials Corp. ("LEM"), on December 30, 2019 , Mr. Krafft acquired 13,000,000 Units of LEM (the "LEM Units") at an issue price per of C$0.056 per LEM Unit. The LEM Units comprise of one common share (the "LEM Shares") and one common share purchase warrant (a "Warrant Share"). Each Warrant Share entitles Mr. Krafft to acquire one LEM Share at a price of C$0.10 per Warrant Share until December 30, 2023 , subject to certain restrictions. The LEM Shares acquired by Mr. Krafft represent approximately 11.44% of the issued and outstanding Common Shares of LEM, on a non-diluted basis. The LEM Units acquired by Mr. Krafft are subject to a voluntary hold period expiring on December 31, 2020 .
Prior to the acquisition of the LEM Shares, Mr. Krafft owned and controlled 9,554,404 Common Shares of LEM, representing approximately 9.99% of the then outstanding Common Shares of LEM.
Immediately after the acquisition of the LEM Shares, Mr. Eric Krafft owns and controls 22,554,404 Common Shares of LEM, representing approximately 19.84% of the outstanding Common Shares of LEM.
Mr. Krafft also owns and controls warrants to acquire up to an additional 17,426,364 Common Shares of the Company. A restriction has been placed on the exercise of any outstanding warrants held or controlled by Mr. Krafft as at closing of the Private Placement that prevents the exercise thereof if such exercise results in Mr. Krafft holding 20% or more of the issued and outstanding shares of the Company, unless approval is obtained from the Company's shareholders.
Mr. Krafft acquired the LEM Shares for investment purposes only and not with a view to materially affect control of LEM.
In the future, Mr. Krafft may take such actions in respect of his holdings in LEM as he may deem appropriate, depending on the market conditions and circumstances at that time.
For further information or to obtain a copy of the Early Warning Report filed by Mr. Eric Krafft on SEDAR under LEM's profile, please contact Mr. Eric Krafft at +377 9797 8420.
This press release is not an offer or a solicitation of an offer of securities for sale in the United States. The securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold in the United States or to U.S. Persons absent registration under the U.S. Securities Act and applicable state securities laws or an applicable exemption from such registration requirements.
SOURCE Mr. Eric Krafft
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