Mr Eric Krafft has announced in connection with a financing announced by Leading Edge Materials Corp., on December 30, 2019, that he has acquired 13,000,000 Units of LEM at an issue price per of C$0.056 per LEM Unit. The LEM Shares acquired by Mr. Krafft represent approximately 11.44% of the issued and outstanding Common Shares of LEM, on a non-diluted basis. The LEM Units acquired by Mr. Krafft are subject to a voluntary hold period expiring on December 31, 2020.
Mr Eric Krafft is a senior office holder at Star Clippers, the family-owned sailing cruise ship company. Leading Edge Materials Corp. focuses on producing, storage, and preservation of low carbon energy and is based in Vancouver, Canada.
Prior to the acquisition of the LEM Shares, Mr. Krafft owned and controlled 9,554,404 Common Shares of LEM, representing approximately 9.99 percent of the then outstanding Common Shares of LEM.
Immediately after the acquisition of the LEM Shares, Mr Eric Krafft owns and controls 22,554,404 Common Shares of LEM, representing approximately 19.84 percent of the outstanding Common Shares of LEM.
Mr Krafft also owns and controls warrants to acquire up to an additional 17,426,364 Common Shares of the Company. A restriction has been placed on the exercise of any outstanding warrants held or controlled by Mr Krafft as at closing of the Private Placement that prevents the exercise thereof if such exercise results in Mr. Krafft holding 20% or more of the issued and outstanding shares of the Company, unless approval is obtained from the Company’s shareholders.
Mr Krafft acquired the LEM Shares for investment purposes only and not with a view to materially affect control of LEM. In the future, Mr Krafft may take such actions in respect of his holdings in LEM as he may deem appropriate, depending on the market conditions and circumstances at that time.
ORIGINAL SOURCE: Press Release IMAGE: Leading Edge Materials Corp.