Cullinan Metals completes shares-for-debt transaction

Executive Summary

• Cullinan Metals Corp. completed a debt settlement by issuing 859,187 common shares at $0.20 per share, extinguishing up to $171,837.50 of outstanding debt.
• The transaction includes a related‑party component: 131,250 shares were issued to a director, qualifying as a MI 61‑101 related‑party transaction.
• The settlement is intended to bolster working capital and support the company’s acquisition strategy.

Key Details

• Shares Issued: 859,187 common shares total.
• Issue Price: Deemed price of $0.20 per share.
• Debt Extinguished: Up to $171,837.50 of bona‑fide debt to creditors.
• Related‑Party Allocation: 131,250 shares issued directly or indirectly to one director (related‑party transaction under MI 61‑101).
• Regulatory Exemptions: Company relied on MI 61‑101 Subsection 5.5(a) (CSE listing) and Subsection 5.7(1)(b) (fair‑market value below 25% of market cap).
• Shareholder Approval: Subject to minority shareholder approval per MI 61‑101 requirements.
• CSE Approval & Hold Period: Issued shares require Canadian Securities Exchange approval and are subject to a statutory hold period of four months plus one day from issuance.
• Purpose: Improve working capital position to facilitate future acquisition transactions.

Notable Quotes

(No direct quotes provided in the release.)