Canadian Mining News

Closes $2.19-million Private Placement

August 3rd 2017 | by Canadian Mining

Canadian Mining Closes $2.19-million Private Placement

Mr. Brian Thurston reports


Canadian Mining Corp., further to its news release of July 5, 2017, has closed a non-brokered private placement for 8,798,944 units at a price of 25 cents per unit to raise gross proceeds of $2,199,736. Due to demand, the offering was increased from $2-million in gross proceeds.

Each unit will consist of one common share and one non-transferable common share purchase warrant. Each common share purchase warrant is exercisable for one additional common share of the company at a price of $1 for a period of two years from the date of issue.

Of particular interest with this offering is that all participants of the financing have signed a voluntary pooling agreement that subjects the shares acquired, and any shares acquired on exercise of the share purchase warrants, to an eight-month staged release of 50 per cent of the shares becoming free trading every four months.

The company paid cash finders’ fees of $147,345.52 and issued 365,820 share purchase warrants to certain qualified finders in connection with the offering. Each finder’s warrant is exercisable into one common share of the company at a price of $1 per share for a period of two years from the date of issuance.

Proceeds from the offering will be used to advance the company’s operations and general working capital, including potential acquisitions, marketing, corporate accounting and geological services.

The offering is subject to the approval of the TSX Venture Exchange, and all securities issued thereunder will be subject to a minimum of a four-month-and-one-day hold period under applicable securities laws.

We seek Safe Harbor.