Entourage Health Corp. ETRGF ENTG (FSE:4WE) revealed that holders of the company’s 8.5% unsecured convertible debentures due September 25, 2022, approved the previously announced proposed amendments to the trust indenture dated as of September 25, 2019 between TSX Trust Company and the company governing the debentures.
Approximately 97% of votes received approved the proposed amendments. Pursuant to the approvals, the indenture may be amended to, among other things: accelerate the maturity date of the debentures to June 30, 2022 and amend the cash amount payable in respect of the debentures on the new maturity date to be 60% of the principal amount of the debentures, together with any accrued and unpaid interest earned on 100% of the principal amount of the debentures from the last interest payment date, less any tax required by law to be deducted. The company intends to enter into a supplemental indenture with TSX Trust Company on or prior to June 30, 2022 to give effect to the proposed amendments.
“I’d like to thank the holders of our convertible debentures for their support and confidence in our strategic vision which reflects a positive step forward in helping improve our debt position and capital structure to keep us on a solid financial path to profitability,” stated George Scorsis, executive chair and CEO, Entourage. “Furthermore, we’ve streamlined our business practices to ensure we are prudently managing our cost structure as we continue producing top-selling products to capture commercial opportunities that will ensure our long-term success.”