Deal sells 10.15 million flow-through common shares, 15,875,000 units
By Devika Patel
Knoxville, Tenn., May 12 - Metanor Resources Inc. said it completed a C$4.57 million private placement of stock and units.
The company sold 10.15 million flow-through common shares at C$0.20 apiece and 15,875,000 units of one common share and one warrant at C$0.16 per unit. Each warrant is exercisable at C$0.30 for two years.
The price per share is a 25% premium to the May 9 closing share price of C$0.16. The strike price reflects an 87.5% premium to that price.
Proceeds will be used for exploration.
Secutor Capital Management Corp. was paid a 6% cash fee.
"After careful review of the Bachelor mining plan, Metanor's operating team together with the geology department have decided to prioritize the underground drilling at the Bachelor mine and augment the present budget for the campaign," president and chief executive officer Ghislain Morin said in a press release. "Doing so will allow Metanor to mine the Bachelor property on a more cost effective basis."
Metanor is a gold mining company based in Val d'Or, Quebec.
| Issuer: | Metanor Resources Inc.
|
| Issue: | Flow-through common shares, units of one common share and one warrant
|
| Amount: | C$4.57 million
|
| Settlement date: | May 12
|
| Stock symbol: | TSX Venture: MTO
|
| Stock price: | C$0.16 at close April 17
|
| Market capitalization: | C$40.09 million
|
|
|
| Shares
|
| Amount: | C$2.03 million
|
| Shares: | 10.15 million
|
| Price: | C$0.20
|
| Warrants: | No
|
|
|
| Units
|
| Amount: | C$2.54 million
|
| Units: | 15,875,000
|
| Price: | C$0.16
|
| Warrants: | One warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$0.30
|
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