By Laura Lutz
Des Moines, May 23 - Module Resources Inc. announced terms for its previously announced private placement of subscription receipts.
The company plans to sell up to 10 million flow-through subscription receipts at C$0.40 each and up to 2,777,778 common unit subscription receipts at C$0.36 each.
The subscription receipts will be automatically exchanged upon conditional approval of the TSX Venture Exchange of the reactivation of the company to Tier 2 of the TSX Venture Exchange. If that does not happen by 5 p.m. ET on June 30, the proceeds will be refunded to subscribers.
Each flow-through subscription receipt will be exchanged for one flow-through share.
Each common unit subscription receipts will be exchanged for one unit of one non flow-through share and one half-share warrant. Each whole warrant will be exercisable for one non flow-through share at C$0.45 for 18 months.
The deal was first announced on May 9.
M Partners Inc. is the placement agent.
Proceeds will be used for exploration on the company's Carolin mine project and for working capital.
Vancouver, B.C.-based Module is a gold exploration company.
| Issuer: | Module Resources Inc.
|
| Issue: | Subscription receipts exchangeable for flow-through shares; subscription receipts exchangeable for units of one non flow-through share and one half-share non flow-through warrant
|
| Amount: | C$5 million
|
| Agent: | M Partners Inc.
|
| Announcement date: | May 9
|
| Pricing date: | May 23
|
| Stock symbol: | TSX Venture: MLE.H
|
| Stock price: | C$0.40 at close May 23
|
|
|
| Flow-through receipts
|
| Subscription receipts: | 10 million
|
| Price: | C$0.40
|
| Warrants: | No
|
|
|
| Common unit receipts
|
| Subscription receipts: | 2,777,778
|
| Price: | C$0.36
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | 18 months
|
| Warrant strike price: | C$0.45
|
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