Ceylon Graphite to extend expiry of 8M warrants

Oct 4, 2021

2021-10-01 16:31 ET – News Release

Mr. Don Baxter reports

CEYLON GRAPHITE SEEKS APPROVAL TO EXTEND WARRANT EXERCISE PERIOD

Ceylon Graphite Corp. intends to seek approval of the TSX Venture Exchange to extend the exercise period of an aggregate of eight million common share purchase warrants. The warrants were issued to subscribers as part of Ceylon’s private placement which closed on Oct. 16, 2019.

Subject to the approval of the TSX Venture Exchange, Ceylon proposes to extend the exercise period of the warrants by one year from Oct. 16, 2021, to Oct. 16, 2022.

All other terms and conditions of the warrants will remain unchanged.

A portion of the warrants is held by an insider of the corporation. Therefore, the amendment of warrants constitutes a “related party transaction” as contemplated by Multilateral Instrument 61-101 — Protection of Minority Shareholders in Special Transactions, and TSX Venture Exchange Policy 5.9 — Protection of Minority Shareholders in Special Transactions. However, the exemptions from formal valuation and minority approval requirements provided for by these guidelines can be relied upon as the fair market value of the warrants does not exceeds 25 per cent of the market capitalization of the corporation.

About Ceylon Graphite Corp.

Ceylon Graphite is a public company listed on the TSX Venture Exchange that is in the business of mining for graphite, and developing and commercializing innovative graphene and graphite applications and products. Graphite mined in Sri Lanka is known to be some of the highest grade in the world and has been confirmed to be suitable to be easily upgradable for a range of applications, including the high-growth electric vehicle and battery storage markets, as well as construction, health care, and paints and coatings sectors. The government of Sri Lanka has granted the company’s wholly owned subsidiary Sarcon Development Pvt. Ltd. an IML Category A licence for its K1 mine and exploration rights in a land package of over 120 square kilometres. These exploration grids (each one square kilometre in area) cover areas of historic graphite production from the early 20th century and represent a majority of the known graphite occurrences in Sri Lanka.

We seek Safe Harbor.

https://www.ceylongraphite.com/