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1844 Resources Announces Short Form Prospectus Offering of Up to $1,250,000
SASKATOON, Saskatchewan, May 04, 2022 (GLOBE NEWSWIRE) -- 1844 RESOURCES Inc. (TSX-V:EFF) (the “Company” or “1844”) is pleased to announce that it has entered i
About this update from 1844 Resources Inc
[{"type":"text","content":" SASKATOON, Saskatchewan, May 04, 2022 (GLOBE NEWSWIRE) -- 1844 RESOURCES Inc. (TSX-V:EFF) (the “Company” or “1844”) is pleased to announce that it has entered into an agreement with Leede Jones Gable Inc. (the \"Agent\"), in connection with a short form prospectus offering of up to 15,625,000 common shares in the capital of the Company (the “Common Shares”) at a price of $0.08 per Common Share to raise aggregate gross proceeds of up to $1,250,000 (the “Offering”).The Offering is being made by the Agent and members of its selling group, on a commercially reasonable agency basis, and is expected to close on or about May 31, 2022 (the “Closing Date”). The Company will pay the Agent a cash commission of 8.0% of the gross proceeds of the Offering, subject to a reduced cash commission of 4.0% of the gross proceeds of the Offering being payable on sales to certain members of the president’s list (the “President’s List Sales”), including on any proceeds realized on the exercise of the Over-Allotment Option (as defined herein). Additionally, the Company will grant to the Agent a number of non-transferable options (the “Agent’s Options”) to purchase up to 8.0% of the Common Shares sold pursuant to the Offering, subject to a limit of 4.0% on President’s List Sales, including on any Common Shares sold pursuant to the exercise of the Over-Allotment Option. The Company will also pay the Agent a corporate finance fee of $25,000. The Agent has been granted an option (the “Over-Allotment Option”), exercisable in whole or in part, at any time for a period of 30 days after and including the Closing Date, to acquire from the Company an additional 15% of the Common Shares offered under the Offering. The Common Shares will be offered by way of a short form prospectus in the Provinces of British Columbia, Alberta, Saskatchewan, Ontario and Québec. Closing of the Offering remains subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals, including the approval of the TSX Venture Exchange and applicable securities regulatory authorities. The net proceeds of the Offering will be used for on-going exploration expenditures on the Company’s properties and general corporate purposes. The Common Shares being offered will not be, and have not been, registered under the United States Securities Act of 1...