CALGARY,
AB and TORONTO,
Nov. 29,
2023 /CNW/ - Magnetic North Acquisition Corp.
(TSXV: MNC) (TSXV: MNC.PR.A) ("Magnetic North" or the
"Company") is pleased to announce that it has entered into a
commitment letter (the "Credit Agreement") with a Canadian
Financial Institution (the "Lender"). Under the Credit
Agreement, the Lender has made available to the Company a
non-revolving demand facility in the principal amount of
US$10,000,000. The facility bears
interest at U.S. prime plus 1.5% per annum and will be used by the
Company for investment purposes.
The Company also received a non-interest bearing loan in the
principal amount of $250,000 from an
arm's length shareholder of the Company to be used by the Company
for general corporate purposes. Subject to the approval of the TSX
Venture Exchange, the Company will grant to the shareholder an
aggregate of 550,000 warrants ("Warrants") as consideration
for providing the loan and for providing the letter of credit in
connection with the Credit Agreement. Each Warrant will entitle the
holder to purchase one Series A preferred share in the capital of
the Company at an exercise price equal to $7.50 per share for period of 12 months from the
date of issuance.
About Magnetic North Acquisition
Corp.
Magnetic North invests and manages businesses on behalf of its
shareholders and believes that capital alone does not always lead
to success. With offices in Calgary and Toronto, our experienced management team
applies its considerable management, operations and capital markets
expertise to ensure its investee companies are as successful as
possible for shareholders. Magnetic North common shares and
preferred shares trade on the TSX Venture Exchange under the stock
symbol MNC and MNC.PR.A, respectively. Magnetic North is a TSX
Venture "2021 TSX Venture 50" recipient. For more information about
Magnetic North, visit its website at www.magneticnac.com. Magnetic
North's securities filings can also be accessed at
www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this news release.
CAUTIONARY STATEMENT REGARDING
FORWARD LOOKING INFORMATION
Certain statements in this news release are "forward-looking
statements", which reflect current expectations of the
management of Magnetic North regarding future events or Magnetic
North's future performance. All statements other than statements
of historical fact contained in this news release may be
forward-looking statements. Such forward-looking statements
involve known and unknown risks, uncertainties and other factors
that may cause actual results or events to differ materially
from those anticipated in the forward-looking statements. Magnetic
North believes that the expectations reflected in such
forward-looking statements are reasonable, but no assurance can
be given that these expectations will prove to be correct and
such forward-looking statements should not be unduly relied upon.
The forward-looking statements are expressly qualified in their
entirety by this cautionary statement. The forward-looking
statements are made as of the date of this news release and
Magnetic North assumes no obligation to update or revise them to
reflect new events or circumstances, except as expressly required
by applicable securities law. Further information regarding risks
and uncertainties relating to Magnetic North and its securities
can be found in the disclosure documents filed by Magnetic North
with the securities regulatory authorities, available at
www.sedar.com.
SOURCE Magnetic North Acquisition Corp.