Business
Cabral Gold Inc. Announces up to $5 million Public Offering of Units
Vancouver, British Columbia--(Newsfile Corp. - May 25, 2022) - Cabral Gold Inc. (TSXV: CBR)...
About this update from Cabral Gold, Inc.
[{"type":"text","content":"Cabral Gold Inc. Announces up to $5 million Public Offering of UnitsVancouver, British Columbia--(Newsfile Corp. - May 25, 2022) - Cabral Gold Inc. (TSXV: CBR) (OTC Pink: CBGZF) (\"Cabral\" or the \"Company\") is pleased to announce that it has entered into an agreement with Paradigm Capital Inc. on behalf of a syndicate of investment dealers including Cormark Securities Inc., Research Capital Corporation, and Roth Canada Inc. (collectively, the \"Agents\") pursuant to which the Agents have agreed to offer for sale on a \"best efforts\" marketed basis, an aggregate of up to 16,130,000 units (the \"Units\") from the treasury of the Company, at a price of $0.31 per Unit for total gross proceeds to the Company of up to approximately $5 million (the \"Offering\").Each Unit will consist of one common share of the Company (a \"Common Share\") and one-half of one common share purchase warrant of the Company (each whole warrant, a \"Warrant\"). Each Warrant will entitle the holder thereof to acquire one Common Share from the Company at a price of $0.50 per Common Share for a period of 24 months after the closing of the Offering (the \"Closing\").In addition, the Company has granted the Agents an option (the \"Over-Allotment Option\") to purchase up to an additional 15% of the Units of the Offering on the same terms exercisable at any time up to 30 days following Closing, for market stabilization purposes and to cover over-allotments, if any.The net proceeds from the Offering shall be primarily used for exploration and development activities, and general working capital purposes.The Agents will be paid by the Company on Closing a cash commission equal to 6.0% of the gross proceeds of the Offering (including on any exercise of the Over-Allotment Option), subject to a reduced cash commission equal to 3.0% in respect of any sales of Units to purchasers on a president's list provided by the Company to the Agents. The Company shall also issue to the Agents that number of compensation options (the \"Compensation Options\") as is equal to 6.0% of the Units issued under the Offering (including on any exercise of the Over-Allotment Option), subject to a reduced number of Compensation Options equal to 3.0% in respect of any sales of Units to purchasers on a president's list provided by the Company to the Agents, each exercisable for one Common Sha...