Units of one common share, one two-year warrant sold at $0.30 per unit
By Devika Patel
Knoxville, Tenn., April 11 - Red Metal Resources Ltd. completed a $2.02 million private placement of units on April 7, according to an 8-K filed Monday with the Securities and Exchange Commission. Brimberg & Co. was the agent.
The company sold 6,723,333 units of one common share and one warrant at $0.30 per unit. Each whole warrant is exercisable at $0.50 for two years. The strike price is a 21.95% premium to the April 6 closing share price of $0.41.
Proceeds will be used for the next phase of drilling on Red Metal's advanced Farellon copper-gold project, an initial phase of exploration on its Mateo project and general working capital and administrative expenses.
The Thunder Bay, Ont., company explores for copper and gold.
| Issuer: | Red Metal Resources Ltd.
|
| Issue: | Units of one common share and one warrant
|
| Amount: | $2,017,000
|
| Units: | 6,723,333
|
| Price: | $0.30
|
| Warrants: | One warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | $0.50
|
| Agent: | Brimberg & Co.
|
| Settlement date: | April 7
|
| Stock symbol: | OTCBB: RMES
|
| Stock price: | $0.41 at close April 7
|
| Market capitalization: | $4.7 million
|
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