Rainy Mountain Royalty (RMO-V) Oct 27, '16 has closed its non-brokered private placement. The company has raised gross proceeds of $680,665 by the issuance of 2,954,000 flow-through units at 7.5 cents per flow-through unit and 7,651,916 non-flow-through units at a price of six cents per non-flow-through unit. Each flow-through unit unit consists of one flow-through common share and one non-flow-through share purchase warrant, with each warrant entitling the holder to purchase an additional non-flow-through common share for a period of one year at an exercise price of 10 cents. Each non-flow-through unit consists of one common share and one share purchase warrant, with each whole warrant entitling the holder to purchase an additional common share for a period of two years at an exercise price of 10 cents. In connection with the private placement, finders' fees were paid in the amount of $23,992.50. All of the securities issued pursuant to this private placement are subject to a hold period expiring on Feb. 27, 2017.
Douglas Mason, the president and chief executive officer of the company, purchased two million units pursuant to the private placement, of which 750,000 units are flow-through units and 1.25 million units are non-flow-through units. Mr. Mason now holds 2,365,875 common shares, representing approximately 9.12 per cent of the outstanding common shares of the company, 3.8 million common share purchase warrants and 307,000 stock options to purchase common shares of the company, that, if exercised in full, would result in Mr. Mason holding 6,472,875 common shares of the company, or approximately 21.55 per cent of the company's then-issued and outstanding common shares, assuming no other common shares of the company are issued. Mr. Mason acquired the units for investment purposes, and may from time to time, increase or decrease his ownership position in the future in the market or privately as circumstances warrant. A copy of the early warning report filed by Mr. Mason in connection with the purchase of the units is available on SEDAR or by contacting the company at 604-922-2030.
The company intends to use the proceeds from this private placement for furthering exploration on Rainy Mountain's optioned Brunswick property in Ontario and for general working capital purposes.
The company intends to use the proceeds from this private placement for furthering exploration on Rainy Mountain's optioned Brunswick property in Ontario and for general working capital purposes.
For further information, contact Mr. Clive Shallow, Shareholder Communications, at 604-922-2030, or visit the Company’s website at www.rmroyalty.com .
Rainy Mountain Royalty Corp.
"Douglas L. Mason"
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Douglas L. Mason, President & CEO |
