Lorne Park Capital Partners Inc. Announces Closing of Private Placement of Non-Convertible Unsecured Debentures

Toronto, Ontario–(Newsfile Corp. – June 15, 2022) – Lorne Park Capital Partners Inc. (TSXV: LPC) (“LPCP” or the “Corporation“) is pleased to announce it has closed a non-brokered private placement offering (the “Offering“) of non-convertible and unsecured debentures of the Corporation (the “Debentures“) for aggregate gross proceeds of $2,939,000. The Debentures mature on and become payable on June 15, 2027 and bear interest at a fixed rate of 7% per annum. The Debentures are direct, unsecured obligations of the Corporation, ranking equally with all other unsecured indebtedness of the Corporation.

As part of the Offering, the Corporation also issued to the subscribers of the Debentures an aggregate of 734,750 warrants (the “Warrants“). Each Warrant entitles the holder to purchase one common share of the Corporation at an exercise price of $1.35 per common share until June 15, 2023.

All of the securities issued in connection with the Offering are subject to a four-month hold period under applicable Canadian securities laws expiring October 16, 2022. The net proceeds of the Offering will be used to redeem existing non-convertible and unsecured debentures of the Corporation and for general working capital purposes. The Offering is subject to final approval by the TSX Venture Exchange.

Insiders of the Corporation purchased an aggregate of $550,000 of Debentures pursuant to the Offering. The Offering is considered to be a “related party transaction” as defined under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101“). The Offering is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of securities being issued to insiders nor the consideration being paid by insiders will exceed 25% of the Corporation’s market capitalization.

About Lorne Park Capital Partners Inc.

LPCP was created to bring together boutique investment management and wealth advisory firms in order to deliver robust, cost effective investment solutions to affluent investors, foundations, estates and trusts. LPCP’s unique strategy creates better alignment between investment managers and wealth advisors while providing them with additional resources to accelerate their growth.

For further information contact:
Robert Sewell, Chief Executive Officer
investor.relations@lpcp.ca
(905) 337-2227

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.

/NOT FOR DISTRIBUTION IN THE UNITED STATES, ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW/

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