Business
Carube Announces Closing of Private Placement of Units
OTTAWA, ON / ACCESSWIRE / July 21, 2016 / Carube Copper Corp. ( TSXV: CUC ) (the " Compa...
About this update from C3 Metals Inc.
[{"type":"text","content":"Carube Announces Closing of Private Placement of UnitsOTTAWA, ON / ACCESSWIRE / July 21, 2016 / Carube Copper Corp. (TSXV: CUC) (the \"Company\" or \"Carube\") is pleased to announce that it has closed its previously announced private placement financing of 5,000,000 units (\"Units\") for gross proceeds of $500,000 (the \"Offering\").\nEach Unit is comprised of one common share in the capital of the Company (a \"Common Share\") and one half of one Common Share purchase warrant (each whole such warrant, a \"Warrant\"). Each Warrant is exercisable into one Common Share at a price of $0.15 per Common Share for a period of two years from the closing date.\nCertain eligible persons (the \"Finders\") were paid a cash commission equal to 7% of the proceeds raised from subscribers introduced to the Company by such Finder, and also issued an aggregate of 43,761 broker warrants (the \"Broker Warrants\"), each Broker Warrant entitling the holder to acquire one Unit at a price of $0.10 for a period of two (2) years from the closing of the Offering.\nThe proceeds of the Unit offering will be used for exploration and general working capital purposes. The actual allocation of net proceeds may vary from the aforementioned uses depending on future operations, unforeseen events or opportunities. The Common Shares, Warrants and Broker Warrants issued pursuant to the Offering are subject to a hold period expiring 4 months and a day following the closing.\nThe closing of the Offering constituted a related party transaction within the meaning of Multilateral Instrument 61-101 (\"MI 61-101\") as certain insiders of the Company subscribed for an aggregate of 500,000 Units. The Company is relying on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, as the fair market value of the participation in the Offering by insiders does not exceed 25% of the market capitalization of the Company, as determined in accordance with MI 61-101. The Company did not file a material change report in respect of the related party transaction at least 21 days before the closing of the first tranche of the private placement, which the Company deems reasonable in the circumstances in order to avail itself of the proceeds of the private placement and complete the Offering in an e...