Acquisition of Common Shares of Reservoir Capital Corp.
Vancouver, British Columbia--(Newsfile Corp. - September 24, 2018) - Kappafrik Management DMCC ("KMGT") announces that in connection with the acquisition by Reservoir Capital Corp. (the "Company") of a 60% interest of Kainji Power Holding Limited ("KPHL"), pursuant to a definitive share purchase agreement dated August 27, 2018 with KMGT, resulting in the Company owning an indirect minority (approximately 1.3%) interest in Mainstream Energy Solutions Limited, as further described in the Company's press release dated September 21, 2018 (the "Transaction"), KMGT acquired ownership and control of 88,800,000 common shares (the "Shares") of the Company.
In connection with the Transaction, KMGT transferred 600 shares held in KPHL to the Company in exchange for an aggregate of 158,100,000 common shares of the Company, which were distributed among certain accredited investors, including KMGT. Immediately prior the Transaction, KMGT did not own any securities of the Company. Upon closing of the Transaction, KMGT controlled an aggregate of 88,800,000 Shares, which represented approximately 43.05% of the Company's issued and outstanding Shares (based on 206,264,424 Shares outstanding upon the closing of the Transaction) on a non-diluted basis.
The acquisition by KMGT of the Shares was primarily made for investment purposes. KMGT may increase or decrease its investment in the Company from time to time according to market conditions or other relevant factors.
The Shares were acquired under the exemptions set out in section 2.3 of National Instrument 45-106 -Prospectus Exemptions. As a result, the Shares acquired by KMGT will be subject to a statutory four-month and a day hold period in accordance with applicable securities laws.
KGMT is issuing this news release pursuant to the requirements of National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues. A copy of the related early warning report (the "Report") will be issued and filed by KMGT on the SEDAR website at www.sedar.com under the Company's profile.
The Company's head office is located at Suite 501, 543 Granville Street, Vancouver, BC V6C 1X8. For further information or to obtain a copy of the Report, contact Kim Casswell, the Corporate Secretary of the Company, at kcasswell@seabordservices.com.
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