Warrant strike price reflects 92.31% premium to stock closing price
By Susanna Moon
Chicago, May 18 – East Africa Metals Inc. said it will carry out a non-brokered private placement of units for proceeds of up to C$1 million. Units will consist of one common share and one half-share non-transferable warrant.
The company will issue up to 10 million units at a price of C$0.10 each.
Each warrant is exercisable at C$0.25 for 24 months from closing. The warrant strike price is a 92.31% premium to the company’s closing price on May 17.
Proceeds will be used to advance the company's Harvest and Adyabo projects, as well as for working capital purposes.
East Africa Metals may be able to accelerate the expiry date of the warrants if, after four months from issue, the company's common shares close above $0.30 per share for 10 consecutive trading days, according to a company announcement.
East Africa is a Vancouver-based mineral exploration company.
| Issuer: | East Africa Metals Inc.
|
| Issue: | Common stock
|
| Amount: | C$1 million
|
| Units: | 10 million
|
| Price: | C$0.10
|
| Warrants: | Half-share per unit
|
| Warrant expiration: | 24 months
|
| Warrant strike price: | C$0.25
|
| Agent: | Non-brokered
|
| Stock symbol: | Canada: EAM
|
| Stock price: | C$0.13 at close May 17
|
| Market capitalization: | C$13.36 million
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
