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VANCOUVER, BC, July 26, 2021 /CNW/ – Kadestone Capital Corp. (“Kadestone” or the “Company”) (TSXV: KDSX) (OTCQB: KDCCF), a vertically integrated property company, is pleased to announce that it has issued a grid promissory note (the “Note”) to Yigeda Enterprises Inc. (the “Lender”) evidencing a bridge loan from the Lender to the Company (the “Loan”) in an aggregate principal amount of $8,100,000 (the “Principal Sum”). The Note was executed on July 25, 2021 and is effective as of July 7, 2021.
The Loan was funded by way of two advances. The first advance, in the amount of $1,300,000, was received by the Company on June 25, 2021. The second advance, in the amount of $6,800,000, was received by the Company on July 7, 2021. The Loan was used by the Company to close the acquisition of properties in Chilliwack and Squamish, British Columbia.
The Principal Sum, together with accrued and unpaid interest and fees thereon and all other money payable by the Company under the Note and any other document entered into by the Company in connection with the Note, is due and payable by the Company on July 6, 2024 (the “Maturity Date”), subject to the Company’s right to prepay, in whole or in part, the Principal Sum owing and unpaid under the Note without the prior written consent of the Lender and without penalty.
The Loan bears interest at a rate of 10%, compounded annually and payable by Kadestone on the Maturity Date.
Kadestone was established to pursue the investment in, development, acquisition, and management of residential and commercial income producing properties within major urban centres and high-growth, emerging markets in Canada. The Company operates five complimentary business lines spanning building materials procurement and supply, property development and construction, construction finance, asset ownership, and property management. These synergistic business lines have solidified Kadestone’s vision to become a market leading vertically integrated property company. Additional information can be found at www.kadestone.com.
ON BEHALF OF THE BOARD
(signed) “Brent Billey”
President, CEO and Director
Neither 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.
Cautionary Statement Regarding Forward- Looking Statements
Certain information in this press release, including, but not limited to, statements regarding the Company’s vision to become a leading vertically integrated property company, may constitute forward looking information (collectively, forward-looking statements), which can be identified by the use of terms such as “may,” “will,” “should,” “expect,” “anticipate,” “project,” “estimate,” “intend,” “continue” or “believe” (or the negatives) or other similar variations. Because of various risks and uncertainties, including those referenced below, actual events or results may differ materially from those reflected or contemplated in such forward-looking statements. As a result, you should not rely on such forward-looking statements. Additional information identifying assumptions, risks and uncertainties relating to Kadestone is contained in Kadestone’s filings with the Canadian securities regulators available at www.sedar.com. These risks include those described in the “Risk Factors” section of the Company’s final prospectus dated September 2, 2020 and in the Management’s Discussion and Analysis for the years ended December 31, 2019 and 2020. The forward-looking statements in this press release are applicable only as of the date of this release or as of the date specified in the relevant forward-looking statement.
SOURCE Kadestone Capital Corp.
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