Royal Helium Ltd. Announces Election to Issue Common Shares in Satisfaction of Convertible Debenture Interest Payment Obligations and for Conversion
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Royal Helium Ltd. has announced its decision to issue 19,446,667 common shares to satisfy interest payment obligations on its convertible debentures. This move involves the 14% and 12% Senior Unsecured Convertible Debentures, with shares priced at $0.030 each.
December 20, 2024 | 10:00 pm
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Royal Helium Ltd. is issuing 19,446,667 common shares to satisfy interest payments on its convertible debentures, potentially diluting existing shares.
The issuance of a large number of shares to satisfy interest payments on convertible debentures can lead to share dilution, which may negatively impact the stock price in the short term. This action directly affects RHCCF as it involves issuing new shares, increasing the total share count and potentially reducing the value of existing shares.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100