Asia/Pacific News
Troubled Bunker Supplier Loses Loan Funds
Troubled Chinese bunker supplier Andatee China Marine Fuel Services Corporation (Andatee) says it has lost a $300,000 10 percent secured convertible promissory note that it signed with White Hat Media LLC (White Hat Media) on February 23, 2015.
Andatee is said to have been informed that its failure to make payments on the note constituted an "event of default" over the agreement's cure periods.
White Hat Media was said to have subsequently informed Andatee that the amount defined under the note, as well as related interest, was due for full payment within five business days and formally requested that the escrow agent responsible for the note's execution sell the appropriate collateral as prescribed under the note, specifically 700,000 in restricted shares of Andatee's common stock.
Andatee says that "the 12-month note bears initial interest rate of 10 percent per annum, which rate increases to 18 percent in the event of non-payment of principal or interest of the note."
The accrued interest under the agreement is said to have been payable quarterly in arrears, whether in cash or in common stock, based on the current conversion prices at the interest due date.
At the end of August, after several prior warnings from NASDAQ this year, Andatee announced that it had received a notice that it would be delisted on September 2, 2015.
