Sol Strategies Announces CAD $10 Million Revolving Credit Facility
Sol Strategies Inc. (CSE: HODL) (OTC Pink: CYFRF) has secured a CAD $10 million unsecured, revolving demand credit facility from its Chairman and director, Antanas Guoga. The facility, effective until October 21, 2026, carries a 5% annual interest rate. Sol Strategies plans to use the funds for working capital and investment purposes. This transaction is considered a 'Related Party Transaction' under MI 61-101, with the company relying on exemptions from formal valuation and minority shareholder approval requirements.
CEO Leah Wald emphasized the non-dilutive nature of the financing and the financial flexibility it provides. The credit facility was unanimously approved by the company's board of directors, including independent directors, who deemed the terms reasonable and commercially favorable.
Sol Strategies Inc. (CSE: HODL) (OTC Pink: CYFRF) ha ottenuto un finanziamento rotativo non garantito di 10 milioni di dollari canadesi dal suo presidente e direttore, Antanas Guoga. Il finanziamento, valido fino al 21 ottobre 2026, prevede un tasso di interesse annuale del 5%. Sol Strategies intende utilizzare i fondi per il capitale circolante e scopi di investimento. Questa transazione è considerata una 'Transazione con Parti Correlate' ai sensi della MI 61-101, con la società che si affida a esenzioni dai requisiti di valutazione formale e approvazione degli azionisti di minoranza.
Il CEO Leah Wald ha sottolineato la natura non diluitiva del finanziamento e la flessibilità finanziaria che offre. Il finanziamento è stato approvato all'unanimità dal consiglio di amministrazione della società, inclusi i direttori indipendenti, che hanno ritenuto le condizioni ragionevoli e commercialmente favorevoli.
Sol Strategies Inc. (CSE: HODL) (OTC Pink: CYFRF) ha asegurado un crédito revolvente no garantizado de 10 millones de dólares canadienses de su presidente y director, Antanas Guoga. El crédito, efectivo hasta el 21 de octubre de 2026, tiene una tasa de interés anual del 5%. Sol Strategies planea utilizar los fondos para capital de trabajo y fines de inversión. Esta transacción se considera una 'Transacción con Partes Relacionadas' según la MI 61-101, con la empresa confiando en exenciones de los requisitos de valoración formal y aprobación de accionistas minoritarios.
La directora ejecutiva Leah Wald enfatizó la naturaleza no dilutiva del financiamiento y la flexibilidad financiera que proporciona. El crédito fue aprobado unánimemente por la junta directiva de la empresa, incluidos los directores independientes, quienes consideraron que los términos eran razonables y comercialmente favorables.
솔 전략 주식회사 (CSE: HODL) (OTC Pink: CYFRF)는 회장이자 이사인 안타나스 구오가로부터 1천만 캐나다 달러의 무담보, 회전식 수요 신용 시설을 확보했습니다. 이 시설은 2026년 10월 21일까지 유효하며, 연 5%의 이자율을 적용받습니다. 솔 전략은 이 자금을 운영 자본 및 투자 목적으로 사용할 계획입니다. 이 거래는 MI 61-101에 따라 '관련 당사자 거래'로 간주되며, 회사는 공식 평가 및 소액 주주 승인 요건에 대한 면제를 적용합니다.
CEO 리아 왈드는 자금 조달의 비희석적 성격과 제공하는 재정적 유연성을 강조했습니다. 이 신용 시설은 회사의 이사회에 의해 만장일치로 승인되었습니다, 독립 이사를 포함하여 그들은 조건이 합리적이고 상업적으로 유리하다고 판단했습니다.
Sol Strategies Inc. (CSE: HODL) (OTC Pink: CYFRF) a sécurisé un facilités de crédit renouvelable non garanti de 10 millions de dollars canadiens auprès de son président et directeur, Antanas Guoga. Cette facilité, valable jusqu'au 21 octobre 2026, comporte un taux d'intérêt annuel de 5%. Sol Strategies prévoit d'utiliser les fonds pour le fonds de roulement et des fins d'investissement. Cette transaction est considérée comme une 'Transaction avec des Parties Liées' selon la MI 61-101, l'entreprise s'appuyant sur des exemptions aux exigences d'évaluation formelle et d'approbation par les actionnaires minoritaires.
La PDG Leah Wald a souligné la nature non dilutive du financement et la flexibilité financière qu'il offre. La facilité de crédit a été approuvée à l'unanimité par le conseil d'administration de l'entreprise, y compris des administrateurs indépendants, qui ont jugé les termes raisonnables et commercialement favorables.
Sol Strategies Inc. (CSE: HODL) (OTC Pink: CYFRF) hat eine unbesicherte revolvierende Kreditlinie über 10 Millionen kanadische Dollar von seinem Vorsitzenden und Direktor Antanas Guoga gesichert. Die Kreditlinie ist bis zum 21. Oktober 2026 gültig und hat einen jährlichen Zinssatz von 5%. Sol Strategies plant, die Gelder für Betriebskapital und Investitionszwecke zu verwenden. Diese Transaktion gilt gemäß MI 61-101 als 'Transaktion mit verbundenen Parteien', wobei das Unternehmen auf Ausnahmen von den Anforderungen an die formelle Bewertung und die Genehmigung durch Minderheitsaktionäre zurückgreift.
Die CEO Leah Wald betonte die nicht verwässernde Natur der Finanzierung und die finanzielle Flexibilität, die sie bietet. Die Kreditlinie wurde einstimmig vom Vorstand des Unternehmens genehmigt, einschließlich unabhängiger Direktoren, die die Bedingungen als angemessen und kommerziell vorteilhaft erachteten.
- Secured CAD $10 million revolving credit facility, providing additional financial flexibility
- Non-dilutive financing arrangement, preserving shareholder value
- Low interest rate of 5% per annum on drawn amounts
- Demonstrates continued support from major shareholder and chairman
- Related party transaction may raise concerns about potential conflicts of interest
- Reliance on exemptions from formal valuation and minority shareholder approval requirements
Toronto, Ontario--(Newsfile Corp. - October 22, 2024) - Sol Strategies Inc., (CSE: HODL) (OTC Pink: CYFRF) (formerly Cypherpunk Holdings Inc., "Sol Strategies" or the "Company"), a Canadian holding company that invests in the Solana blockchain and ecosystem, today announced that it has entered into an agreement dated October 21, 2024, with Antanas Guoga (the "Lender"), the Company's Chairman and director, providing for a
Under the terms of the Credit Facility, the Lender agreed to make available to the Company up to
The Company expects to use any borrowings under the Credit Facility for its day-to-day working capital requirements and investment purposes. No portion of the Credit Facility has been drawn as of the date of this news release.
Mr. Guoga commented on the investment: "Sol Strategies has demonstrated its operational excellence and commitment to maintaining top-tier validator performance in the Solana ecosystem. This loan reflects my confidence in its ability to continue driving the Company's growth operating within the Solana ecosystem."
Leah Wald, CEO of Sol Strategies added, "We are pleased to have arranged this non-dilutive financing with our chairman and major shareholder, which provides the Company with additional financial flexibility as we move forward with our objectives. Mr. Guoga's loan commitment also emphasizes his continued support and belief in the Company's strategic vision."
Related-party transaction and approval process by the Company's board of directors
The Lender is Chairman and a director of the Company. He also holds common shares and options to purchase common shares of the Company, representing approximately
The Credit Facility was approved unanimously by the Company's board of directors, including by its independent directors, who determined that the Credit Facility was obtained by the Company on reasonable commercial terms not less favourable to the Company than if it had been obtained from a person dealing at arm's length with it.
The Company did not file a material change report at least 21 days prior to agreeing to the Credit Facility, because the Company's directors determined that it was in its interests to enter the Credit Facility upon settling its terms without delay. The directors determined that this was reasonable in the circumstances because it allowed the Company to avail itself of the Credit Facility in an expeditious manner. The Company intends to file a material change report containing all the prescribed disclosures relating to this related party transaction within the required timeframe.
About Sol Strategies
Sol Strategies is a publicly traded holding company committed to the continued development of the Solana blockchain and ecosystem through its private equity and financial markets activities. Sol Strategies seeks to leverage investment opportunities in staking rewards and Solana-based projects, allowing shareholders to indirectly participate in decentralized finance. The Company is headquartered in Toronto, Canada, and is publicly listed on the Canadian Securities Exchange under the ticker HODL and on the OTC market under the ticker CYFRF. To learn more about Sol Strategies, please visit www.solstrategies.io. A copy of this news release and all the Company's related material documents regarding the Company change report may be obtained under the Company's SEDAR+ profile at www.sedarplus.ca.
Cautionary Note Regarding Forward-Looking Information
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release contains "forward-looking information" within the meaning of applicable securities laws. Generally, any statements that are not historical facts may contain forward-looking information and forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or indicates that certain actions, events or results "may", "could", "would", "might" or "will be" taken, "occur" or "be achieved". Forward-looking statements in this news release include statements regarding the company's future staking holdings and intended use of proceeds from the Credit Facility and growth plans. There is no assurance that the Company's plans or objectives will be implemented as set out herein, or at all. Forward-looking information is based on certain factors and assumptions the Company believes to be reasonable at the time such statements are made and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance, or achievements of the Company to be materially different from those expressed or implied by such forward-looking information.
There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made and the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change, except as required by law. Investors are cautioned against attributing undue certainty to forward-looking statements.
Disclaimer:
Sol Strategies is an independent organization in the Solana ecosystem. Sol Strategies is not affiliated with, owned by, or under common control with Solana Foundation (the "Foundation"), and the Foundation has not entered into any association, partnership, joint venture, employee, or agency relationship with Sol Strategies.
None of the Foundation or its council members, officers, agents or make any representations or warranties, recommendations, endorsements or promises with respect to the accuracy of any statements made, information provided or action taken by Sol Strategies and expressly disclaim any and all liability arising from or related to any such statements, information or action.
Officer/Director Contact:
Doug Harris
Chief Financial Officer
doug@solstrategies.io
Tel: 416-480-2488
SOURCE: Sol Strategies
Media contact: solstrategies@mgroupsc.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/227419
FAQ
What is the size and terms of the credit facility secured by Sol Strategies (CYFRF)?
Who provided the credit facility to Sol Strategies (CYFRF)?
How does Sol Strategies (CYFRF) plan to use the funds from the credit facility?
Is the credit facility transaction considered a related party transaction for Sol Strategies (CYFRF)?
