Coloured Ties Capital Inc. (TSXV: TIE) (“Coloured Ties” or the “Company”) announces, further to its news release on September 23, 2021, it has entered into loan repayment agreement with Fertimar Mineracao E Navegacao SA (“Fertimar”), whereby Fertimar shall repay the debt of $1.3 million in 12 monthly installments.
On Aug. 31, 2018, the previous management of Coloured Ties had loaned $1.8-million (U.S.) to Fertimar Mineracao E Navegacao SA as part of a planned reverse takeover transaction. The reverse takeover transaction did not complete and the Company has been working with Fertimar to effect a repayment plan and has entered into a repayment plan with Fertimar whereby Fertimar shall repay a total amount of $1,300,000 in twelve monthly installments, starting in February 2022.
The Company is pleased to report that since changing its business focus away from mineral exploration and into an investment issuer classification, the Company has made several successful investments that have resulted in positive returns for the Company. As of October 21, 2021, the Company had approximately $11,057,606 in Total Cash and Equivalents and $10,330,84 in total investments in public and private entities. Total liabilities as of October 21, 2021 was approximately $39,815. These numbers equal to a Net Asset Value for the Company of $21,348,665 or $0.92 per share on a consolidated share basis of 23,275,641 common shares issued and outstanding (all figures are based on unaudited financial statements and stated in Canadian currency and subject to variations).
The Company plans to file its latest financial statements in the coming weeks.
SHARE BUY BACK
Coloured Ties Capital Inc. intends to proceed with a normal course issuer bid (NCIB) for up to 1,163,782 common shares of the company, representing approximately 5 per cent of the issued and outstanding shares of the company.
All shares purchased under the NCIB are being purchased on the open market through the facilities of the TSX Venture Exchange as well as through other designated exchanges and alternative trading systems in Canada in accordance with applicable regulatory requirements. All shares purchased will be at the prevailing market price at the time of purchase and will be subsequently cancelled. The NCIB will be conducted through Canaccord Genuity, a member of the exchange, and made in accordance with the policies of the exchange.
The company has received approval from the exchange to commence its NCIB on Dec. 15, 2021. The bid will end on Dec. 14, 2022, or earlier if the number of shares sought in the NCIB has been obtained. The company reserves the right to terminate the bid earlier if it determines such action to be appropriate. Although Coloured Ties intends to purchase shares under its NCIB, there can be no assurance that any such purchases will be completed.
The company believes that the purchase of the shares will increase the proportionate interest of, and be advantageous to, all remaining securityholders. The normal course purchases will also afford an increased degree of liquidity in the market. The company believes that the purchase of the shares would be the best use of its available cash.
In addition, the Company is pleased to announce the launch of its Corporate website at https://www.colouredtiescapital.com.
For further information please contact:
Coloured Ties Capital Inc.
Kal Malhi Chief Executive Officer
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.
Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Except as required pursuant to applicable securities laws, the Company will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by the Company.
The forward-looking statements contained in this news release present the expectations of the Company as of the date hereof and, accordingly, is subject to change after such date. Readers are cautioned not to place undue reliance on forward-looking statements.