Under the terms of its agreements with RCF, Wyloo Metals will purchase the 94,553,126 Noront common shares for an aggregate purchase price of US$11.5 million (C$14.8 million, or C$0.16 per share) and will purchase the convertible loan for US$15.0 million (which is the principal amount of the loan). The Noront common shares to be acquired represent approximately 22.65% of the 417,512,534 currently outstanding Noront common shares. Based on the current conversion price of the loan, Wyloo Metals would acquire 96,600,000 Noront common shares upon full conversion of the loan and would, if the warrants it is to acquire were also exercised, result in Wyloo Metals holding 192,927,790 Noront common shares, representing approximately 37.40% of the Noront common shares on a partially diluted basis. |