Golden Reign Resources (GRR-V) March 17, '16 Oversubscribed PP Closed
Golden Reign Resources Ltd. has closed a non-brokered private placement of 38,958,000 common shares priced at eight cents per share to raise gross proceeds of $3,116,640. In connection with the offering, the company has agreed to pay finder's fees of $57,806 cash and 712,075 warrants priced at 12 cents per common share, exercisable for a period of 12 months. The common shares issued pursuant to this private placement are subject to a four-month hold period. The placement and the payment of the finder's fees are subject to acceptance by the TSX Venture Exchange.
Proceeds of the placement will be applied to costs related to the company's wholly owned Nicaraguan mineral properties, including the advancement of the San Albino gold deposit, and for general working capital.
Insider participation in offering
John Conlon, Rael Lipson, Abraham Jonker and Lindsay Mine Services Ltd. (Kevin Bullock -- 100 per cent) participated in the private placement by subscribing for a total of 8,341,000 common shares for total proceeds of $667,280. The participation by the directors is considered a related party transaction as defined under Multilateral Instrument 61-101. The transaction is exempt from the formal valuation and minority shareholder approval requirements under MI 61-101, as neither the fair market value of the common shares issued to nor the consideration paid by the related parties exceeded 25 per cent of the company's market capitalization.
On behalf of the Board,
"Kim Evans"
Kim Evans, CGA
President & CEO
About Golden Reign:
Golden Reign Resources Ltd. is a publicly listed (TSX-V: GRR) mineral exploration company engaged in exploring the San Albino-Murra Property and the El Jicaro Property, both of which are located in Nueva Segovia, Nicaragua.
The Company's prime objective is to bring its high-grade San Albino Gold Deposit into production quickly and efficiently, building cash flow to further advance a number of its other highly prospective exploration targets.
The Company's land package comprises 13,771 hectares (138 km2) of highly prospective ground. Hundreds of historical mines and workings exist within the Corona de Oro Gold Belt, which is approximately 3 kilometres wide by 20 kilometres long and spans the entirety of the Company's land package.
For additional information please visit our website at www.goldenreign.com and SEDAR www.sedar.com. |
