(TheNewswire)
Vancouver, B.C. - TheNewswire - Canada - October 7, 2020 - Mag OneProducts Inc. (the "Company" or "MOPI") (CSE:MDD) (CNSX:MDD.CN)(OTC:MGPRF) announces today it will be seekingthe Canadian Securities Exchange (the " CSE ") approvalto change its name from Mag One Products Inc. to Cover Technologies Inc. and change itsticker symbol to "COVE" (the " Name and Symbol Change ") and to consolidate all if its issued and outstandingcommon shares (the " Common Shares ") on the basis of 20:1, with each 20 (twenty) pre-consolidated Common Shares beingconsolidated into one (1) post-consolidated Common Shares (the" ShareConsolidation "). In accordance with theCompany's articles, Shareholder approval will not be required for theproposed Name Change or Share Consolidation. The proposed Name Changeand Share Consolidation has been approved by the Company's board ofdirectors to reflect that the Company's businessis not restricted to Magnesium based technologies or products, but hasa broader general industrial products and technologies focus for itsoperations.
The proposed Share Consolidationwould result in the number of issued and outstanding Common Sharesbeing reduced from the current outstanding 55,042,903 Common Shares toapproximately 2,752,145 Common Shares. The Company also hasoutstanding incentive stock options to purchase 4,200,000 CommonShares reserved for issuance, equal to 210,000 Common Shares on a postconsolidation basis.
No fractional shares will be issued as a result of theShare Consolidation. Any fractional shares resulting from the ShareConsolidation will be rounded down to the next whole Common Share, andno cash consideration will be paid in respect of fractional shares.
The Company's board of directors believes that theShare Consolidation will provide the Company with greater flexibilityfor the continued development of its business and the growth of theCompany, including financing arrangements. There is no change ofbusiness associated or being effected with respect of the ShareConsolidation or the Name and Symbol Change.
The Company is obtaining one set of new CUIP and ISINnumbers for the Name and Symbol Change and the Share Consolidation.The record date for the Consolidation will be October 14, 2020. The effective date of the Name and Symbol Changeand Share Consolidation and the new CUSIP and ISIN numbers will bedisclosed in a subsequent news release. Generally, with respect of aconsolidation, the shares would commence quotation on the CSE on aconsolidated basis on the first trading day preceding the record dateand the CSE would issue a bulletin to dealers advising of the shareconsolidation and effective date of trading on the consolidated basis.With respect of a name change, shares normally commence trading on theunder the new name and symbol at the opening of trading two or threetrading days after the filing of documents by the Company confirmingthe name change. The Company intends to effect the Name and SymbolChange and the Share Consolidation concurrently. Notwithstanding theforegoing, the Name and Symbol Change and the Share Consolidation aresubject to regulatory approval, and the board of directors may, at itsdiscretion, determine not to effect the Name and Symbol Change orShare Consolidation or may determine to amend the terms of the ShareConsolidation.
The Company has also arranged a two hundred andforty-six thousand-dollar (Canadian) loan with an annual interest rateof 5% per annum.
Proceeds from the loan are intended to be used inconnection with the Company's wholly owned subsidiary, Mag OneOperations Inc for advancing the pilot testing and engineering of itspatent pending high purity magnesium oxide, high purity silica and lowcost magnesium metal production technologies, testing, bottling andproduction of Vera Clean Products and general and administrativeworking capital for the Company and the mentioned subsidiary.
The Company also announces that it decided not toproceed with the private placement announced on July 2, 2020.
On behalf of the Board, " Tony Louie ", President & CEO, Mag One Products Inc.
Neither theCanadian Securities Exchange nor its Regulation Services Provideraccepts responsibility for the adequacy or accuracy of this newsrelease.
About Mag One Products Inc.
Mag One ProductsInc. is an industrial products andsolutions company. Using its game-changing technology, Mag OneProducts aims to be the most environmentally friendly &sustainable producer of magnesium (Mg) metal, ultrapure Mg compounds, by-products and vertically integratedco-products. Mag One Products is expanding its portfolio to exploreand develop other innovative products and solutions for the industrialand consumer disinfectant market. For further information orquestions respecting the Company kindly contact the Company via emailat: info@MagOneProducts.com. Additional information can be found onthe Company's website at www.MagOneProducts.com or by viewing theCompany's filings at www.sedar.com
Forward-LookingInformation
Information set forth in this press release may involveforward-looking statements, including statements relating to thesecurities of the Company trading on the CSE. Forward-lookingstatements are statements that relate to future, not past, events. Inthis context, forward-looking statements often address a company'sexpected future business and financial performance, and often containwords such as "anticipate", "believe","plan", "estimate", "expect", and"intend", statements that an action or event"may", "might", "could","should", or "will" be taken or occur, or othersimilar expressions. By their nature, forward-looking statementsinvolve known and unknown risks, uncertainties and other factors whichmay cause our actual results, performance or achievements, or otherfuture events, to be materially different from any future results,performance or achievements expressed or implied by suchforward-looking statements. Such factors include, among others, thefollowing risks: risks associated with marketing and sale ofsecurities; the need for additional financing; reliance on keypersonnel; the potential for conflicts of interest among certainofficers or directors with certain other projects; and the volatilityof common share price and volume. In this case, disclosure aboutproposed the Name and Symbol Change and the Share Consolidation areforward-looking statements, and there is a risk that neither the Nameand Symbol Change nor the Share Consolidation may occur or occur asplanned, and there is a risk that such event(s) occurring or notoccurring (whether at all or as planned) may have adverse unforeseenimpact on the Company, its market for securities, and/or its futurebusiness prospects (which include fundraising and operationalmatters). Forward-looking statements are made based on management'sbeliefs, estimates and opinions on the date that statements are madeand except as required by law, the Company undertakes no obligation toupdate forward-looking statements if these beliefs, estimates andopinions or other circumstances should change. Investors are cautionedagainst attributing undue certainty to forward-looking statements. For further information on risk, investors areadvised to see the Company's MD&A and other disclosure filingswith the CSE regulators which are found at www.sedar.com.
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