Vancouver, British Columbia--(Newsfile Corp. - August 16, 2019) - Royalty North Partners Ltd. (TSXV: RNP) ("RNP" or the "Company") announces that further to its press release dated January 22, 2019, it has received a full repayment of the loan to SST under the Second Modification Agreement ("the Loan"). The Loan had a principal of US$2,970,000 and a 10% interest rate and could be prepaid at any time at no penalty to SST. On August 15, 2019, RNP received a total of US$3,153,082, being the principal and all outstanding interest up to the date of repayment.
The Company now has two remaining royalty investments, Advanced Wire Products and Blue 360 Media. Both of these investments are paying RNP on a monthly basis in accordance with the royalty agreements between them and the Company.
As at the date of this news release, the Company has in issuance C$6,260,000 of convertible debentures (the "Debentures") carrying an 8% interest rate which fall due on September 8, 2020. The Company will use all funds received from the repayment of the Loan to pay down the Debentures, leaving a remaining balance of approximately C$2,100,000. The Company shall continue to pay the outstanding Debentures with cash flows from operations from the two remaining cash-flowing royalties as it has the funds to do so. The Company does not expect to be able to pay all of the Debentures prior to the date which they fall due (September 8, 2020) and so will look to extend the date of the some of the Debentures to match the Company's cash flows.
On behalf of the Company,
Chief Executive Officer and Director
About Royalty North Partners Ltd.