CoTec Holdings Corp. Enters Convertible Loan Agreement with Kings Chapel

Vancouver-based CoTec Holdings Corp. (TSXV:CTH) announced a new convertible loan agreement with Kings Chapel International Limited. This agreement modifies and restates prior loans amounting to CAD$3,013,147, with CAD$220,896 in accrued interest. Kings Chapel will also provide an additional CAD$1,500,000 in three installments over the next three months.

The loan carries an annual interest rate of 10%, maturing on December 31, 2027. Conversion to common shares is possible from January 1, 2025, at CAD$0.75 per share at Kings Chapel's discretion, or automatically at CAD$1.00 when conditions are met. Kings Chapel cannot own more than 49% post-conversion.

As an insider with affiliations to CoTec's CEO, Julian Treger, this constitutes a related party transaction. Regulatory exemptions apply under MI 61-101, and necessary approvals from the TSX Venture Exchange are pending. Shares issued through this process will be subject to a hold period of four months plus a day.