Vancouver, British Columbia--(Newsfile Corp. - June 27, 2019) - In accordance with the requirements of Section 3.1 of National Instrument 62-103, Mr. Tunde J. Afolabi (the "Acquiror") announces that he has acquired 199,942,233 common shares (the "Shares") of Reservoir Capital Corp. of 543 Granville Street Vancouver, British Columbia V6C 1X8 (the "Issuer") on June 26, 2019 (the "Transaction").
The Shares were issued to the Acquiror on June 26, 2019 in consideration for the Issuer's direct acquisition from the Acquiror of 350 shares of Kainji Power Holding Ltd. ("KPHL") and 6,450,912 shares of Mainstream Energy Solutions Limited ("MESL"), held indirectly through KPHL. The Transaction constituted the second stage to the Issuer's investment into MESL.
The Acquiror's obligation to file a report arose when the Acquiror acquired control and direction of 199,942,233 Shares. Prior to the Transaction, the Acquiror directly held 20,000,000 Shares representing approximately 9.47% of the Issuer's then issued and outstanding Shares on a non-diluted basis (based on 211,105,144 Shares issued and outstanding) and approximately 9.09% of the Issuer's issued and outstanding Shares on a fully-diluted basis (assuming all issued and outstanding options and warrants of the Issuer were exercised and no other Shares were issued). Immediately after the Transaction, the Acquiror has direct ownership of 219,942,233 Shares, representing approximately 45.72% of the Issuer's issued and outstanding Shares on a non-diluted basis (based on 481,047,377 Shares issued and outstanding). Assuming all issued and outstanding options and warrants of the Issuer are exercised and no other Shares are issued, the Acquiror would own 44.88% of the Issuer's then issued and outstanding Shares on a fully-diluted basis.
The Acquiror acquired the Shares pursuant to a share exchange agreement dated April 25, 2019 between the Issuer, KPHL and certain shareholders of MESL and KPHL, whereby the Issuer acquired shares from the Acquiror in each of KPHL and MESL (held indirectly through KPHL). The Acquiror may acquire additional securities or dispose of existing securities on the basis of the Acquiror's assessment of market conditions and in compliance with applicable securities regulatory requirements.
A copy of the early warning report filed by the Acquiror in connection with the aforementioned acquisition is available on the SEDAR website at www.sedar.com or by contacting the Issuer at 604 568-4877.
"Tunde Joseph Afolabi"
TUNDE JOSEPH AFOLABI
Telephone: 604 662-8448
The Canadian Securities Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
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