Friday, 17 August 2018 05:40 PM
Bluedrop Performance Learning Inc. (TSX-V:BPL) ("Bluedrop") is pleased to announce that it has closed the previously announced loan transaction with Rizbollo Holdings Limited (“Rizbollo”). Bluedrop has agreed to borrow the principal amount of CDN$600,000 from Rizbollo on an unsecured basis (the "Loan").
The Loan, which is subordinated to existing senior credit and other term loan facilities, is for an 18 month term and will bear interest, payable monthly, at the rate of 16% per annum. Rizbollo, a holding company controlled by Emad Rizkalla, President and Chief Executive Officer and a director of Bluedrop, presently holds approximately 65% of the issued and outstanding common shares of Bluedrop. The terms of the Loan provide that early repayment can be made by Bluedrop, without penalty, by providing 90 days notice.
The Loan, while a related party transaction under the applicable policies of the TSX Venture Exchange ("TSX-V"), is exempt from valuation and minority approval requirements. The Loan is exempt from the valuation requirement as none of Bluedrop's securities are listed or quoted on "specified markets" for the purposes of the applicable policies of the TSX-V. In addition, the Loan is exempt from the minority approval requirements because the fair market value of the transaction is less than 25% of Bluedrop's market capitalization.
The Loan will be used for general corporate and working capital needs of Bluedrop.
About Bluedrop
Bluedrop Performance Learning (TSX-V: BPL) is an innovator in workplace training for individuals, corporations, military personnel and the public sector. Launched in 2004, Bluedrop is transforming the workplace globally by designing, developing and delivering practical, actionable and affordable training content that improves individual and overall performance of organizations. For more information, visit www.bluedrop.com.
This news release may contain "forward-looking information" as defined in applicable Canadian securities legislation. All statements, other than statements of historical fact included in this release, including, without limitation, statements regarding the impact of the operational restructuring and future plans and objectives of Bluedrop, constitute forward-looking information that involve various risks and uncertainties. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may prove to be incorrect, including, but not limited to, assumptions in connection with the operational efficiencies associated with the integration of technological and financial systems and general economic and market conditions. There can be no assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking information.
Important factors that could cause actual results to differ materially from Bluedrop’s expectations include general global economic conditions. For additional information with respect to risk factors applicable to Bluedrop, reference should be made to Bluedrop's continuous disclosure materials filed from time to time with securities regulators, including, but not limited to, Bluedrop's Management’s Discussion and Analysis of Results of Operations and Financial Condition For the Year Ended September 30, 2014. The forward-looking information contained in this release is made as of the date of this release and Bluedrop does not undertake to update publicly or revise the forward-looking information contained in this release, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.
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.
Media contact:
Bernie Beckett
Chief Financial Officer
Bluedrop Performance Learning
709-739-4938