Euromax Announces Closing of Issuance of Securities to EBRD in Connection with Partial Repayment of Debt

Core Viewpoint - Euromax Resources Ltd. has completed the issuance of 25,539,333 common shares to the European Bank for Reconstruction and Development (EBRD) as part of a debt settlement agreement to repay a portion of its outstanding debt [1][2]. Group 1: Transaction Details - The common shares were issued at a deemed offering price of C$0.045 per share, totaling C$1,149,270 owed to EBRD under the Loan Agreement [1][2]. - The transaction is part of a broader private placement financing initially announced on December 15, 2025, and completed in two tranches [2]. - The issued common shares will be subject to a hold period of four months and one day, expiring on July 20, 2026, in accordance with TSX Venture Exchange policies [3]. Group 2: Ownership Changes - Prior to the transaction, EBRD owned 59,360,423 common shares, representing approximately 6.51% ownership, and could control an additional 119,212,289 shares through conversion of the Loan Agreement [6]. - Following the transaction, EBRD's ownership increased to 84,899,756 common shares, representing approximately 9.06% of the issued shares, and it is entitled to beneficially own 208,963,576 shares, equating to a 19.69% ownership interest [7]. - EBRD's beneficial ownership increased by 1.39% post-transaction, excluding any other securityholders' exercises [7]. Group 3: Loan Agreement Amendments - The Loan Agreement has been amended to extend its maturity date to February 28, 2027, allowing EBRD to beneficially own 216,810,021 common shares at maturity, representing a 20.28% ownership interest [9][10]. - The transaction allows EBRD to maintain its ownership interest at a similar level as before the private placement and issuance of notes [11].