i-80 Announces Proposed Amendments to its Convertible Debentures

Core Viewpoint - i-80 Gold Corp. has reached an agreement with certain convertible debenture holders to amend the terms of its convertible debentures, marking the first step in the second phase of its recapitalization plan, which is expected to be completed by the end of Q1 2025 [1][4][9]. Summary by Sections Recapitalization Plan - The company completed the first phase of its recapitalization plan by deferring gold and silver deliveries on December 31, 2024 [9]. - The second phase aims to unlock the value of high-grade gold projects in Nevada [9]. Convertible Debentures - On February 22, 2023, the company closed a private placement offering of $65 million principal amount of secured convertible debentures [2]. - As of October 15, 2024, debenture holders representing approximately 66 2/3% of the principal amount appointed a committee to direct the trustee on behalf of the debenture holders [3]. Amendments to Indenture - The agreement includes three amendments to the indenture: 1. The conversion price for noteholders will be adjusted to the volume weighted average price of i-80 Gold common shares on the TSX during the five trading days before the conversion, minus a 15% discount [5]. 2. The company's right to grant security on a pari-passu basis against McCoy-Cove is removed, ensuring debenture holders remain senior secured [6]. 3. A new redemption right allows the company to redeem the debentures for cash at a 104% premium of the outstanding principal, providing greater flexibility [7]. Approval and Conditions - The amendments are subject to approval from the committee, TSX, and NYSE American [8]. - A waiver of an event of default related to a minimum cash requirement was granted, contingent upon the implementation of the amendments by February 28, 2025 [7].