Metallum Resources (MZN-V) Closing of Concurrent Financing
March 2nd 2023 - NR
Metallum Resources is pleased to announce that further to its news releases dated October 19, 2022, December 6, 2022, February 8, 2023 and February 17, 2023 (the “Previous News Releases”), the Company has closed on its previously announced private placement offering of 150,000,000 subscription receipts (each a “Subscription Receipt”) at a price of $0.06 per Subscription Receipt (the “Offering Price”) for gross proceeds of $9,000,000 (the “Offering”).
The Offering is intended to be the concurrent financing in connection with the Company’s proposed transaction with Waroona Energy Pty Ltd (“Waroona”), which will result in the reverse takeover of the Company by Waroona (the “Transaction”).
Each Subscription Receipt entitles the holder thereof to receive, without any further action on the part of the holder or payment of any additional consideration, one common share of the Company (each a “Share”), subject to the satisfaction or waiver of the Escrow Release Conditions (as defined herein) prior to the date that is 120 days following closing of the Offering, and provided that the Transaction has not otherwise been terminated.
The Subscription Receipts (and Shares issued upon the conversion of the Subscription Receipts) are subject to a four month hold period, pursuant to securities laws in Canada. The net proceeds of the Offering will be held in escrow and, upon the satisfaction or waiver of certain conditions (the "Escrow Release Conditions"), including all conditions to the closing of the Transaction, the net proceeds will be released to the Company. In the event that the net proceeds are released to the Company, the Company will make payments totalling $307,959.20 to certain arm’s length finders in connection with their assistance with the Offering.
Trading Halt
The common shares of the Company (the “Shares”) are currently halted from trading, and the trading of the Shares is expected to remain halted pending completion of the Transaction.
Further Information
For additional information on the Transaction, please refer to the Previous News Releases.
ON BEHALF OF THE BOARD
For further information, contact:
Tony Wonnacott, Chairman and Interim CEO
Tel: 416.953.5879
Email: info@metallumzinc.com
Website: www.metallumzinc.com |
