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Focus Graphite (OTCQB: FCSMF) announced that Chairman Jeff York has converted C$200,000 of his private loan into 571,428 shares at C$0.35 per share. This conversion is part of a broader strategy to eliminate York’s total loan of C$1,535,000 and strengthen the company’s balance sheet.
To comply with TSX Venture Exchange Policy 4.1’s 20% ownership cap, York sold 488,000 shares for C$161,831.20. Despite this sale, the conversion resulted in a net increase in his overall position. The company plans to work with York on additional conversions to gradually eliminate the remaining loan while maintaining shareholder value.
Focus Graphite (OTCQB: FCSMF) ha annunciato che il presidente Jeff York ha convertito un prestito personale di C$200.000 in 571.428 azioni al prezzo di C$0,35 per azione. Questa conversione rientra in una strategia più ampia volta a estinguere l’intero prestito di York, pari a C$1.535.000, e a rafforzare il bilancio della società.
Per rispettare il limite di proprietà del 20% previsto dalla Policy 4.1 della TSX Venture Exchange, York ha venduto 488.000 azioni per C$161.831,20. Nonostante questa cessione, la conversione ha comportato un aumento netto della sua posizione complessiva. La società intende collaborare con York per ulteriori conversioni finalizzate a eliminare gradualmente il prestito residuo, tutelando il valore per gli azionisti.
Focus Graphite (OTCQB: FCSMF) anunció que el presidente Jeff York convirtió C$200,000 de su préstamo personal en 571,428 acciones a C$0.35 por acción. Esta conversión forma parte de una estrategia más amplia para eliminar el préstamo total de York de C$1,535,000 y fortalecer el balance de la empresa.
Para cumplir con el límite de propiedad del 20% establecido en la Política 4.1 de la TSX Venture Exchange, York vendió 488,000 acciones por C$161,831.20. A pesar de esta venta, la conversión supuso un aumento neto de su posición total. La compañía planea trabajar con York en conversiones adicionales para eliminar gradualmente el préstamo restante, manteniendo el valor para los accionistas.
Focus Graphite (OTCQB: FCSMF)는 회장 제프 욕(Jeff York)이 개인 대출 C$200,000을 주당 C$0.35의 조건으로 571,428주로 전환했다고 발표했습니다. 이번 전환은 욕의 총 대출금 C$1,535,000을 해소하고 회사의 재무구조를 강화하기 위한 광범위한 전략의 일환입니다.
TSX 벤처 거래소 정책 4.1의 20% 소유 한도를 준수하기 위해 욕은 488,000주를 C$161,831.20에 매도했습니다. 이 매도에도 불구하고 전환으로 그의 전체 보유는 순증했습니다. 회사는 남은 대출금을 단계적으로 제거하기 위해 욕과 추가 전환을 진행할 계획이며, 주주 가치를 유지하는 데 중점을 둘 것입니다.
Focus Graphite (OTCQB: FCSMF) a annoncé que le président Jeff York a converti C$200 000 de son prêt privé en 571 428 actions au prix de C$0,35 par action. Cette conversion s’inscrit dans une stratégie plus large visant à éliminer la dette totale de York de C$1 535 000 et à renforcer le bilan de la société.
Pour se conformer au plafond de 20 % de détention prévu par la politique 4.1 de la TSX Venture Exchange, York a vendu 488 000 actions pour C$161 831,20. Malgré cette cession, la conversion a entraîné une augmentation nette de sa position globale. La société prévoit de travailler avec York sur d’autres conversions afin d’éliminer progressivement le prêt restant tout en préservant la valeur pour les actionnaires.
Focus Graphite (OTCQB: FCSMF) gab bekannt, dass Vorstandsvorsitzender Jeff York C$200.000 seines Privatdarlehens in 571.428 Aktien zu C$0,35 pro Aktie umgewandelt hat. Diese Umwandlung ist Teil einer umfassenderen Strategie, Yorks Gesamtdarlehen in Höhe von C$1.535.000 zu tilgen und die Bilanz des Unternehmens zu stärken.
Um die in der Policy 4.1 der TSX Venture Exchange festgelegte 20%-Beteiligungsgrenze einzuhalten, verkaufte York 488.000 Aktien für C$161.831,20. Trotz dieses Verkaufs führte die Umwandlung zu einer Nettoerhöhung seiner Gesamtposition. Das Unternehmen plant, mit York an weiteren Umwandlungen zu arbeiten, um das verbleibende Darlehen schrittweise zu beseitigen und dabei den Aktionärswert zu wahren.
Positive
- Chairman’s C$200,000 loan conversion to equity demonstrates strong insider confidence
- Net increase in Chairman’s position despite required share sale for compliance
- Strategic debt reduction strengthens balance sheet for future financing opportunities
- Gradual conversion approach protects shareholder value by avoiding sudden dilution
Negative
- Significant remaining debt of C$1,335,000 from Chairman’s loan still on books
- Required share sale of 488,000 shares for compliance with ownership cap
- Future conversions may lead to additional share sales for compliance
09/08/2025 – 05:00 AM
Jeff York converts $200,000 of his longstanding private loan into equity as part of a plan to gradually eliminate debt, reinforce financial flexibility, and advance the Company’s strategic priorities.
Ottawa, Ontario– September 8, 2025 — Focus Graphite Inc. (TSXV: FMS) (OTCQB: FCSMF) (FSE: FKC0) (“Focus” or the “Company”), a Canadian graphite developer, announced Chairman Jeff York’s conversion of C$200,000 of his private loan into 571,428 shares at C$0.35 per share. This is part of a broader strategy to eliminate York’s total loan of C$1,535,000, fortifying the balance sheet and setting the stage for future financing opportunities as well as project development milestones, according to the release.
York, through his holding company JJJY Holdings Inc., has provided C$1,535,000 in private financing historically, in a show of long-term commitment to Focus Graphite. To comply with TSX Venture Exchange Policy 4.1, capping individual ownership at 20%, York recently sold 488,000 shares for C$161,831.20. The sale was required for compliance, however, the conversion represented a larger amount of capital than was sold, resulting in a net increase to his overall position in the Company.
“This step is about supporting Focus Graphite for the long term,” said Mr. York. “By reducing debt and increasing equity, I’m reinforcing my confidence in the Company’s direction under new leadership. Focus Graphite has the potential to supply environmentally responsible graphite essential to Canada and its allies. With important milestones ahead as we advance Lac Knife and Lac Tetepisca, I’m proud to continue supporting the Company’s progress on its mission.”
The company plans to further reduce and ultimately eliminate the loan through conversions in a manner that protects shareholder value. This proactive approach avoids resolving the entire loan at once and preserves financial flexibility. To the extent that share sales are required for compliance, they will be limited, timed, and managed.
With some of the highest-grade flake graphite resources in North America within its Lac Knife and Lac Tetepisca projects, Focus Graphite is serving clean energy, defense, and specialty markets with graphite solutions.
Strategic Rationale and Market Implications
The debt-to-equity conversion signals a pivotal shift in Focus Graphite’s financial strategy. Converting debt into equity can strengthen the balance sheet by reducing liabilities and increasing shareholders’ equity. This improved financial position can enhance the company’s creditworthiness, making it more attractive to potential investors and lenders, which is crucial for securing future funding required to advance their flagship projects.
The graphite market is witnessing increased demand, driven primarily by the electric vehicle (EV) industry. Graphite is a key component in lithium-ion batteries, used extensively in EVs. As governments worldwide implement policies favoring EV adoption and as battery technology continues to advance, the demand for high-quality graphite is expected to surge. Focus Graphite’s focus on environmentally sustainable processing solutions and innovative battery materials positions the company to capitalize on this growing demand, particularly in North America, reducing reliance on foreign-controlled markets.
About Focus Graphite Advanced Materials Inc.
Focus Graphite Advanced Materials is redefining the future of critical minerals with two 100% owned world-class graphite projects and cutting-edge battery technology. Our flagship Lac Knife project stands as one of the most advanced high-purity graphite deposits in North America, with a fully completed feasibility study. Lac Knife is set to become a key supplier for the battery, defense, and advanced materials industries.
Our Lac Tetepisca project further strengthens our portfolio, with the potential to be one of the largest and highest-purity and grade graphite deposits in North America. At Focus, we go beyond mining – we are pioneering environmentally sustainable processing solutions and innovative battery technologies, including our patent-pending silicon-enhanced spheroidized graphite, designed to enhance battery performance and efficiency.
Our commitment to innovation ensures a chemical-free, eco-friendly supply chain from mine to market. Collaboration is at the core of our vision. We actively partner with industry leaders, research institutions, and government agencies to accelerate the commercialization of next-generation graphite materials. As a North American company, we are dedicated to securing a resilient, locally sourced supply of critical minerals – reducing dependence on foreign-controlled markets and driving the transition to a sustainable future.
Cautionary Note Regarding Forward-Looking Statements
Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words “could,” “intend,” “expect,” “believe,” “will,” “projected,” “estimated,” and similar expressions, as well as statements relating to matters that are not historical facts, are intended to identify forward-looking information and are based on the Company’s current beliefs or assumptions as to the outcome and timing of such future events.
In particular, this press release contains forward-looking information relating to, among other things, the Company’s plan to gradually reduce and eliminate outstanding debt through loan-to-equity conversions, the potential impact of these actions on Focus Graphite’s financial flexibility, the Company’s positioning as a secure long-term supplier of specialty graphite materials, and the advancement of its Lac Knife and Lac Tetepisca projects toward permitting and production. It also includes statements regarding the potential geopolitical significance of Canadian graphite supply for Canada and its allied nations.
Forward-looking statements are subject to known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such statements. These risks and uncertainties include, but are not limited to, risks related to market conditions, regulatory approvals, changes in economic conditions, the ability to raise sufficient funds on acceptable terms or at all, operational risks associated with mineral exploration and development, and other risks detailed from time to time in the Company’s public disclosure documents available under its profile on SEDAR+.
The forward-looking information contained in this release is made as of the date hereof, and the Company is not obligated to update or revise any forward-looking information, whether as a result of new information, future events, or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties, and assumptions contained herein, investors should not place undue reliance on forward-looking information.
Neither TSX Venture Exchange nor its Regulation Services accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/265495
FAQ
How much of Jeff York’s loan did Focus Graphite (FCSMF) convert to equity in September 2025?
Chairman Jeff York converted C$200,000 of his loan into 571,428 shares at C$0.35 per share.
What is the total amount of Jeff York’s loan to Focus Graphite (FCSMF)?
Through his holding company JJJY Holdings Inc., Jeff York has provided a total of C$1,535,000 in private financing to Focus Graphite.
Why did Focus Graphite’s Chairman sell shares in September 2025?
Chairman Jeff York sold 488,000 shares for C$161,831.20 to comply with TSX Venture Exchange Policy 4.1, which caps individual ownership at 20%.
What is Focus Graphite’s plan for the remaining loan balance?
The company plans to work with York to gradually reduce and eliminate the remaining loan through additional conversions, executed in a manner that protects shareholder value.
What are Focus Graphite’s main projects?
Focus Graphite is advancing the Lac Knife and Lac Tetepisca projects in Quebec, which contain some of the highest-grade flake graphite resources in North America.
