RE: CUDA selling their Alberta gas stake17 Sep 2021 06:04
This was released by Cuda on 30 August 2021
At June 30, 2021, the Company had credit facilities with an outstanding balance of approximately $67.1 million including all unpaid interest and financing fees. On August 23, 2021, the Company received a limited waiver from the Senior Facility lender. The Senior Facility lender waived the principal and interest repayments required to June 30, 2021, and the ability to apply the default interest rate of 19% per annum up to June 30, 2021. The Senior Facility lender has not waived the operational and financial covenant breaches at June 30, 2021. The Company also had a convertible debenture with an outstanding balance of approximately $1.8 million including accrued interest. The terms of the convertible debenture is still subject to regulatory approval.
The Company and the Senior Facility lender have agreed to engage a sales advisor by August 9, 2021 to pursue a sales process, including the opening of an online data room by August 27, 2021. Additionally, the Company shall execute one or more non-binding letters of intent by September 30, 2021 and a binding offer to purchase by October 31, 2021.