Vancouver, British Columbia–(Newsfile Corp. – November 22, 2020) – GCC Global Capital Corporation (TSXV: GCCC) (the “Company”) The directors of the Corporation have determined that it is in the best interest of the Corporation to enter into a loan agreement dated November 20 2020 (the “Loan Agreement”) with Jiu Fa Investments Ltd. (the “Lender”), pursuant to which the Corporation shall borrow up to a maximum amount of $1,000,000 (the “Loan”) from the Lender in such amounts and at such times (each, an “Advance”) as is mutually agreed upon by the Lender and the Corporation, such Loan to bear interest at a rate of 8% per annum from the applicable date of each Advance and mature on the earlier of: (i) November 20, 2023; and (ii) the date on which Metath Investment Co., Ltd. ceases to own, or have control or direction over, common shares of the Corporation (“Common Shares”) representing at least 20% of the issued and outstanding Common Shares.
Huijun Wang, a director and Chief Executive Officer of the Corporation, has an interest in the Loan, has disclosed such interest to the directors of the Corporation and is restricted from voting on the Loan pursuant to Section 120 of the Canada Business Corporations Act.
The Company is exempt from the formal valuation requirement under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”) as its Common Shares are listed for trading on the TSXV. The Company is also exempt from the minority approval requirement under MI 61-101 as the Loan has been provided on reasonable commercial terms that are not less advantageous to the Company than if it were obtained from an arm’s length party. Further, the Loan is not convertible into or repayable in securities of the Company.
The Company did not file a material change report more than 21 days before the expected closing of the Loan, as the details of the Loan were not finalized until immediately prior to the closing and the Company wished to close the transaction as soon as practicable for sound business reasons.
About GCC Global Capital Corporation
GCC Global Capital Corporation is listed on the TSX Venture Exchange as an Investment Issuer. The Company focuses on the real estate, natural resources and high tech industries.
For further information please contact Alex (Yu) Wu, Executive Assistant at email@example.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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