TORONTO, Dec. 22, 2014 /CNW/ - Atlanta Gold Inc.
(TSXV: ATG; OTCQX: ATLDF) announces that it has entered into a
forbearance agreement with Concept Capital Management Ltd.
("CCM"), the holder of the Company's C$3 million 6% convertible debenture due
December 15, 2016, whereby CCM has
agreed to forbear until January 31,
2015 from exercising any remedies it may have under the
debenture and related documents. During the forbearance
period, the Company and CCM have agreed to use their reasonable
best efforts to negotiate terms to refinance the debenture.
CCM had previously requested that the debenture be redeemed in
accordance with the debenture's early redemption provisions.
Completion of any refinancing transaction will be subject to the
approval of the TSX Venture Exchange.
About the Company
Atlanta Gold Inc. holds
through its 100% owned subsidiary, Atlanta Gold Corporation,
leases, options or ownership interests in its Atlanta properties which comprise
approximately 2,159 acres (8.74 square kilometres) located 90 air
kilometers east of Boise, in
Elmore County, Idaho. A long
history of mining makes Atlanta
very suitable for development of new mining projects. The
Company is focused on advancing its core asset, Atlanta, towards mine development and
production.
Forward-Looking Information
This news
release contains forward-looking information and forward-looking
statements (collectively "forward-looking statements") within the
meaning of applicable securities laws with respect to the
refinancing of the Company's debenture. Such are based upon
various assumptions and other factors that management believes to
be reasonable, including that the Company will reach agreement with
CCM and receive the requisite approvals of the TSX Venture Exchange
on a timely basis. Forward-looking statements involve known
and unknown risks, uncertainties and other factors that may cause
our actual results to differ materially from those expressed or
implied by the forward-looking statements. Risks and
uncertainties that may cause actual results to vary include the
ability to conclude in a timely manner a refinancing agreement on
terms acceptable to the Company and to the holders of the Company's
senior secured notes, the receipt of all requisite approvals to the
refinancing from the TSX Venture Exchange; the ability of the
Company to complete additional financings on acceptable terms;
fluctuations in the gold price and currency exchange rates; changes
in general economic conditions and in the financial markets; as
well as other risks and uncertainties which are more fully
described in the Company's annual and interim management's
discussion and analysis and other filings by the Company with the
securities regulatory authorities, which are available under the
Company's profile at www.sedar.com. Should one or more risks
and uncertainties materialize or should any assumptions prove
incorrect, then actual results could vary materially from those
expressed or implied by the forward-looking statements and
accordingly, readers should not place undue reliance on the
forward-looking statements. Readers are cautioned that the
foregoing lists of risks, uncertainties, assumptions and other
factors are not exhaustive. The forward-looking statements
contained herein are made as of the date hereof and the Company
undertakes no obligation to update publicly or revise any
forward-looking statements contained herein or in any other
documents filed with securities regulatory authorities, whether as
a result of new information, future events or otherwise, except in
accordance with applicable securities laws.
To receive Company news via email, contact jeanny@chfir.com and
mention "Atlanta Gold News" in the subject line.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES
PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX
VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR
ACCURACY OF THIS RELEASE.
SOURCE Atlanta Gold Inc.