GEORGETOWN, GRAND CAYMAN, CAYMAN ISLANDS, July 18, 2014 /CNW/ - Meridian Capital International Fund ("Meridian") announced today that US$1.5 million has been advanced to Caspian Energy Inc. ("Caspian") under a loan agreement (the "Loan Agreement") dated July 7th, 2014 among Meridian, Firebird Global Master Fund Holdings, Ltd. and Firebird Avrora Fund, Ltd. (collectively, "Firebird") and Caspian, pursuant to which Meridian and Firebird agreed to provide short-term financing to Caspian by way of a secured convertible loan. Of the US$1.5 million total principal amount, US$1,138,800 was advanced by Meridian.
The purpose of the financing is to allow Caspian to pay certain permitted expenses including professional fees to its advisors, administrative expenses, pre-agreed salaries and fees to its directors and officers and other past amounts due.
As of the date hereof Meridian, together with related parties, holds 84,412,894 common shares of Caspian ("Common Shares") representing approximately 64% of the Common Shares outstanding. Meridian has the right to convert its portion of the principal amount of the advance into Common Shares at a conversion price of Cdn.$0.06 per common share, subject to adjustment as provided in the Loan Agreement.
The number of Common Shares issuable to Meridian upon conversion (using a conversion price of Cdn.$0.06 and an exchange rate of Cdn.$1.0677 = US$1.00) is 20,264,946 and would result in Meridian, together with related parties, holding approximately 66% of the Common Shares outstanding (assuming Firebird also exercises its right to conversion under the Loan Agreement).
For more information about the Loan Agreement please refer to the news release issued by the Caspian on July 7th, 2014.
This news release is being issued pursuant to National Instrument 62-103 The Early Warning System and Related Take-Over Bid and Insider Reporting Issues of the Canadian Securities Administrators.
SOURCE: Meridian Capital International Fund
For further information: A copy of the early warning report in respect of this transaction will be available at www.sedar.com. For additional information, or for a copy of the early warning report filed in respect of the above, please contact: Paul Marchand, Meridian Capital International Fund, PO Box 309 GT, Ugland House, South Church Street, George Town, Grand Cayman, Cayman Islands, Tel: +852 2239 5300, Email: email@example.com