Cabral Gold Announces Up to $2 Million Non-Brokered Private Placement

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[{"type":"text","content":"\nCabral Gold Announces Up to $2 Million Non-Brokered Private PlacementVancouver, British Columbia--(Newsfile Corp. - October 25, 2018) - Cabral Gold Inc. (TSXV: CBR) (OTC Pink: CBGZF) (\"Cabral\" or the \"Company\") is pleased to announce the terms of a non-brokered private placement of up to 8,000,000 common shares at a price of $0.25 per share for gross proceeds of up to $2,000,000. Officers and directors of the Company intend to subscribe for between 10% and 15% of the private placement.The Company intends to use the net proceeds from the private placement to complete a diamond drill program aimed at testing several of the recently identified high-grade structures at the Cuiú Cuiú property (see news releases of June 19, July 19 and August 9, 2018), ongoing costs of permitting relating to the Cuiú Cuiú property (see news release of September 12, 2018), and for general corporate and working capital purposes. The securities issued pursuant to the private placement will be subject to a four-month hold period from the closing date. Completion of the private placement and the payment of any finder's fees remain subject to the receipt of all necessary regulatory approvals, including the approval of the TSX Venture Exchange.Cabral may pay a cash finder's fee equivalent to up to 6% of the gross proceeds of the private placement and issue share purchase warrants (the \"Finder's Warrants\") to finder's equivalent to up to 6% of the number of common shares included in the private placement. Each Finder's Warrant will entitle the holder to purchase one common share of the Company at a purchase price of $0.25 for a period of up to 24 months following closing of the private placement. The participation of Cabral's officers and directors in the private placement will constitute a \"related party transaction\" within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"). The transaction is exempt from the formal valuation requirements of MI 61-101 pursuant to section 5.5(a) as the fair market value of the officers' and directors' participation will not be more than 25% of the Company's market capitalization. The transaction is also exempt from the minority shareholder approval requirements of MI 61-101 by virtue of section 5.7(1)(b) thereof as the f...

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