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Camino Purchases Maria Cecilia Porphyry Complex in Peru as Part of Investment Collaboration with Denham Capital
Vancouver, British Columbia--(Newsfile Corp. - March 30, 2021) - Camino Corp. (TSXV: COR) (O...
About this update from Camino Minerals Corporation
[{"type":"text","content":"Camino Purchases Maria Cecilia Porphyry Complex in Peru as Part of Investment Collaboration with Denham CapitalVancouver, British Columbia--(Newsfile Corp. - March 30, 2021) - Camino Corp. (TSXV: COR) (OTC: CAMZF) (WKN: A116E1) (\"Camino\" or the \"Company\") is pleased to announce that it has entered into an agreement (the \"Share Purchase Agreement\") with Denham Capital affiliate, Stellar Investment Holdings LLC (\"Stellar\"), to purchase all of the shares of Minera Maria Cecilia Ltd. (\"MMC BVI\"), a British Virgin Islands company, which will result in Camino owning and controlling the mineral rights and titles comprising the Maria Cecilia Porphyry and Skarn Complex (\"Maria Cecilia\") located in Ancash, Peru.As consideration for the purchase, Camino has agreed to issue to Stellar 23,193,098 common shares in the capital of Camino at a price of $0.20 per share, for an aggregate purchase price of $4,638,620.Concurrently with the Share Purchase Agreement, Stellar has entered into a subscription agreement (the \"Subscription Agreement\") whereby Stellar will invest an additional $500,000 in cash in Camino by subscribing for 2,272,727 common shares of Camino at a price of $0.22 per common share on a private placement basis. This subscription is intended to close concurrently with the closing of Camino's acquisition of MMC BVI under the Share Purchase Agreement. At the closing of the acquisition of MMC BVI and the subscription, Stellar is anticipated to own approximately 19.9% of Camino's issued and outstanding common shares. The parties have also agreed to the terms of an investor rights agreement (the \"Investor Rights Agreement\"), which is anticipated to be entered into at the closing of the transaction, pursuant to which Stellar will be granted certain rights so long as it maintains no less than a 10% interest in Camino, including an anti-dilution right on future financings to maintain its interest at approximately 19.9% and the right to appoint a director to the board of Camino. Material terms of the Share Purchase Agreement, the Subscription Agreement, and the Investor Rights Agreement are further summarized below. Camino believes that Maria Cecilia lies at the centre of a large porphyry complex. Approximately US $28 million of exploration expenditures have been made on Maria Cecilia since 2012, including 32,120 metres of d...