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Abstract
Further to a previous news release of October 22, 2012 announcing the intention to apply for admission on the AIM market of the London Stock Exchange plc ("AIM"), EastCoal Inc. (TSX VENTURE:ECX) (the "Company" or "EastCoal") is pleased to announce that it has today filed an application (the "Application") for the admission (the "Admission") to AIM of the Company's existing share capital and additional common shares in the capital of the Company to be issued pursuant to the Placing (as defined below).
On the basis that certain directors and insiders (the "Related Parties") of the Company may participate in the Placing, any such participation in the Placing would be considered a "related party transaction" within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101") which is incorporated into Policy 5.9 of the TSX Venture Exchange. As the Placing may be a related party transaction, the following additional disclosures are provided (following the listing of disclosures in Section 5.2 of MI 61-101).
Cenkos Securities plc ("Cenkos") has been appointed as the Nominated Advisor for the purposes of the Admission and the broker for the Placing, whereby it is currently proposed that Cenkos will act as agent for the Company to place the Placing Shares on behalf of the Company with prospective placees in the United Kingdom. The Placing Shares to be issued will be offered outside of the province of British Columbia, Canada by way of private placement to placees located exclusively in the United Kingdom who are "Qualified Investors" falling within Article 19(5) and Article 49(2) of the United Kingdom Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, and, in each case, who are "Eligible Counterparties" within the meaning of COBS 3.6.1 of the FSA Conduct of Business Sourcebook.