Colibri Closes Debenture Units Offering

Executive Summary

• Colibri Resource Corporation issued 115 convertible debenture units for gross proceeds of US $115,000, representing a refinancing of existing debentures rather than new capital.
• Each unit consists of a US $1,000 10% unsecured convertible debenture and 5,200 common‑share purchase warrants exercisable at C$0.25 per share for 24 months.
• The debentures mature on February 9, 2028; interest is payable quarterly in cash, and the principal is convertible into common shares at a fixed FX rate of C$1.30/USD.

Key Details

• Units Issued: 115 convertible debenture units (total gross proceeds US $115,000).
• Debenture Component: US $1,000 principal amount, 10% annual interest, unsecured, payable quarterly in arrears; maturity February 9, 2028.
• Conversion Terms: Principal convertible at C$0.25 per common share (fixed FX rate of C$1.30/USD) any time before maturity; interest not convertible.
• Warrant Component: 5,200 warrants per unit, each warrant allows purchase of one common share at C$0.25 for a period of 24 months post‑closing.
• Acquisition: Units were purchased by two former debenture holders whose original debentures matured August 2025; no new cash was raised for the company.
• Regulatory Consents: TSXV consent obtained; securities subject to a statutory four‑month‑and‑one‑day hold period.
• Fees: No finder's fees payable in connection with this placement.

Notable Quotes

• Ian McGavney, President, CEO & Director: “This financing structure enables us to refinance existing obligations while providing additional warrant coverage that aligns the interests of our investors with future equity upside.”