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Auxico Resources Announces Acquisition of 7 Million Shares by Joint Venture Partner Central America Nickel
MONTREAL, July 18, 2023 /CNW/ - Auxico Resources Canada Inc. (CSE: AUAG) (OTCQB: AUXIF) (the "Company" or "Auxico") is pleased to announce that Central America
About this update from Auxico Resources Canada, Inc.
[{"type":"text","content":" MONTREAL, July 18, 2023 /CNW/ - Auxico Resources Canada Inc. (CSE: AUAG) (OTCQB: AUXIF) (the \"Company\" or \"Auxico\") is pleased to announce that Central America Nickel Inc. (\"CAN\") has made a meaningful acquisition of 7 million common shares and 3 million warrants in the capital of Auxico; the warrants have a strike price of CAD $0.15 for a period of 3 years. CAN is a Canadian-based mining and technology firm with common directors and management as Auxico, and has acquired these shares as a long-term investor due to the strategic importance and substantial quantity of rare earth and other critical minerals contained in both of Auxico's highly-prospective Colombian and Brazilian projects. Inclusive of this transaction, CAN now holds 7,550,000 shares and 4,275,000 warrants in Auxico. Pierre Gauthier, President and CEO of Auxico, retains a meaningful stake with over 5 million shares of the Company, validating that management is very much aligned with shareholders. As part of this holding, Pierre Gauthier had previously acquired 2 million common shares of Auxico at a price of CAD $0.50 per share as of December 28, 2022, from CAN, which was disclosed and filed accordingly on SEDI (www.sedi.ca). Early Warning This press release is issued pursuant to National Instrument 62-104 - Take-Over Bids and Issuer Bids and National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues. As a result of this meaningful acquisition, CAN will hold 8.17% of the issued and outstanding common shares of Auxico. If all the warrants of CAN are exercised, CAN will own 12.23% of the issued and outstanding common shares of Auxico, on a partially diluted basis. The Acquisition was made for investment purposes. In accordance with applicable securities laws, CAN may, from time to time and at any time, acquire additional shares and/or other equity, debt or other securities or instruments (collectively, \"Securities\") of Auxico in the open market or otherwise, and reserves the right to dispose of any or all of their Securities in the open market or otherwise at any time and from time to time, and to engage in similar transactions with respect to the Securities, the whole depending on market conditions, the business and prospects of Auxico and other relevant factors. A report respecting this acquisitio...