Dune Oil Corp ( CSE:DUNE , OTCQB:DUNXF , FRA:Z620 ) said it will convert its legacy convertible debentures into common shares, a move that strengthens its balance sheet as it advances work on its M47 oil block in southeastern Türkiye.
The company will convert its legacy 12% convertible debentures into 93,333,334 common shares.
The amount owing, including principal and interest, has been set at C$14 million and will be settled at C$0.15 per share. All obligations under the debentures will be extinguished, and no warrants or other securities will be issued.
"This debenture conversion significantly strengthens the company's balance sheet and clears the way for our next stage of growth," Chief Executive Scott Lower said.
After the settlement, Dune will have 163,569,062 common shares outstanding. Existing shareholders will hold about 42.94%, and three former debenture holders will each hold more than 10%.
The company expects to complete the settlement by October 27.
