Business
Cantex Announces $10 Million Private Placement of Flow-Through Shares
Cantex Announces $10 Million Private Placement of Flow-Through Shares Canada NewsW...
About this update from Cantex Mine Development Corp.
[{"type":"text","content":"\n\n\n\nCantex Announces $10 Million Private Placement of Flow-Through Shares\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nKELOWNA, BC, Aug. 1, 2019\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/\n KELOWNA, BC, Aug. 1, 2019 /CNW/ - Cantex Mine Development Corp. (the \"Corporation\" or \"Cantex\") (TSX-V: CD) is pleased to announce that it has entered into an agreement with Canaccord Genuity Corp.  and Leede Jones Gable Inc. (the \"Underwriters\") in connection with a \"bought deal\" private placement of an aggregate of 1,588,000 common shares of the Corporation that will qualify as \"flow-through shares\" (within the meaning of subsection 66(15) of the Income Tax Act (Canada)) (\"Flow-Through Shares\") for aggregate gross proceeds of C$10 million (the \"Offering\").   In connection with the Offering; (i) 921,000 Flow-Through Shares will be issued as part of a charity arrangement at an issue price of C$6.52 per Flow-Through Share (the \"Charity Issue Price\") for gross proceeds of C$6,004,920; and (ii) 667,000 Flow-Through Shares will be issued at C$6.00 per Flow-Through Share (the \"FT Issue Price\") for gross proceeds of C$4,002,000. \nIn addition, the Underwriters have been granted an option to sell up to that number of an additional Flow-Through Shares at the Charity Issue Price and/or the FT Issue Price for additional gross proceeds of up to C$2,000,000.\nThe gross proceeds from the Offering will be used by the Corporation to incur eligible \"Canadian exploration expenses\" that will qualify as \"flow-through mining expenditures\" as such terms are defined in the Income Tax Act (Canada) (the \"Qualifying Expenditures\") related to the Corporation's projects in Canada. All Qualifying Expenditures will be renounced in favour of the subscribers of the Flow-Through Shares effective December 31, 2019.\nThe Offering is expected to close on or about August 22, 2019 and is subject to certain closing conditions including, but not limited to,...