CORRECTION FROM SOURCE - Early Warning Report Filed Pursuant to Canada's National Instrument 62-103 with Respect to Acquisition of Common Shares and Warrants of Kaizen Discovery Inc.
A correction from I-Pulse Inc. is issued for the news release of July 12, 2019. The news release has been corrected for the number of warrants now held by HPX and the aggregate total percentage of Kaizen's then issued and outstanding common shares on a partially diluted basis HPX would be deemed to own if HPX were to exercise those warrants. The corrected release is as follows:
Vancouver, British Columbia--(Newsfile Corp. - July 12, 2019) - This news release is issued by I-Pulse Inc. ("I-Pulse") pursuant to the early warning requirements of Canada's National Instrument 62-103 with respect to common shares of Kaizen Discovery Inc. ("Kaizen").
I-Pulse, through its affiliate, HPX TechCo Inc. ("HPX"), announces that it has acquired 20,000,000 units of Kaizen, with each such unit consisting of one Kaizen common share and one warrant to acquire a Kaizen common share for C$0.12 for a period of 24-months.
The 20,000,000 common shares acquired represent ownership and control of 6.74% of the currently issued and outstanding common shares of Kaizen. The acquisition of the 20,000,000 units of Kaizen by HPX results in HPX owning or exercising control over 204,932,613 common shares of Kaizen, representing 69.06% of the issued and outstanding common shares of Kaizen, not including any common shares issuable upon exercise of the 22,100,000 warrants now held by HPX.
Immediately prior to the purchase, I-Pulse had beneficial ownership and control over 184,932,613 common shares representing approximately 66.82% of the then-issued and outstanding common shares of Kaizen. I-Pulse now has actual beneficial ownership and control over 204,932,613 common shares, representing 69.06% of the currently issued and outstanding common shares of Kaizen, and is deemed to beneficially own an additional 22,100,000 common shares issuable upon the exercise of common share purchase warrants, representing an aggregate total of approximately 71.20% of Kaizen's then issued and outstanding common shares on a partially diluted basis. All of these securities are beneficially owned and controlled by I-Pulse.
I-Pulse and HPX also announce that prior news releases and early warning reports disclosing HPX's ownership of Kaizen were filed on behalf of Ivanhoe Industries, LLC ("Industries"), a parent company of I-Pulse and HPX. Pursuant to a dilution in Industries' ownership interest in I-Pulse, Industries has ceased to control HPX and, accordingly, I-Pulse is now deemed to have control of HPX and is now the entity required to file such reports under the Instruments.
For further information and to obtain a copy of the early warning report filed under applicable Canadian provincial securities legislation in connection with the transactions hereunder, please go to Kaizen's profile on the SEDAR website (www.sedar.com), or contact Penny Schattenkirk at (604) 689-8765. I-Pulse has an office c/o 654-999 Canada Place, Vancouver, British Columbia, Canada, V6C 3E1.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/46258