/EINPresswire.com/ -- ACHESON, ALBERTA -- (Marketwired) -- 06/17/16 -- ENTREC Corporation (TSX: ENT) ("ENTREC" or the "Corporation"), an employee-owned heavy haul transportation and crane solutions provider, is pleased to announce that it has entered into a second supplemental indenture with the trustee for its 7.00% convertible unsecured subordinated debentures originally due October 31, 2017 (ENT.DB) (the "Debentures") to give effect to amendments to the Debentures that were approved at a special meeting of Debenture holders held on June 10, 2016. The amendments result in the following changes to the Debentures:

1.  INCREASING the underlying interest rate from 7.00% to 8.50% effective
    October 31, 2016 (being the commencement of the next interest rate
    accrual period);
2.  DECREASING the conversion price from $2.60 to $1.00 per share of the
    Corporation;
3.  EXTENDING the maturity date from October 31, 2017 to June 30, 2021;
4.  PERMITTING the Corporation to redeem the Amended Debentures, in whole or
    in part, at any time up to June 30, 2021, at a price equal to the
    principal amount thereof plus accrued and unpaid interest to, but
    excluding the date of the redemption;
5.  REMOVING the Corporation's ability to, upon the conversion of the
    Amended Debentures by a holder thereof, elect to pay the holder cash in
    an amount and at such time as determined in accordance with the
    Indenture; and
6.  REMOVING the Corporation's ability to undertake any rights offering,
    issuance of securities, subdivision of the common shares of the
    Corporation, dividend or other distribution on the common shares of the
    Corporation or any other securities, capital reorganization,
    reclassification or any similar type of transaction in which (i) the
    number of securities to be issued, (ii) the price at which securities
    are to be issued, converted or exchanged, or (iii) any property or cash
    that is to be distributed or allocated, is in whole or in part based
    upon, determined in reference to, related to or a function of, directly
    or indirectly, (x) the exercise or potential exercise of the Common
    Share Redemption Right (as defined in the trust indenture governing the
    Debentures) or the Common Share Repayment Right (as defined in the trust
    indenture governing the Debentures), or (y) the Current Market Price (as
    defined in the trust indenture governing the Debentures) determined in
    connection with the exercise or potential exercise of the Common Share
    Redemption Right or the Common Share Repayment Right.

About ENTREC

ENTREC is an employee-owned heavy haul transportation and crane solutions provider to the oil and natural gas, construction, petrochemical, mining and power generation industries. ENTREC is listed on the Toronto Stock Exchange under the symbol ENT.

Contacts:
ENTREC Corporation
John M. Stevens
President & CEO
(780) 960-5625

ENTREC Corporation
Jason Vandenberg
CFO
(780) 960-5630
www.entrec.com

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