Business
Chesapeake Gold Announces $15 Million Private Placement Financing
Vancouver, British Columbia--(Newsfile Corp. - July 29, 2019) - Chesapeake Gold Corp. (TSXV: C...
About this update from Chesapeake Gold Corp.
[{"type":"text","content":"Chesapeake Gold Announces $15 Million Private Placement FinancingVancouver, British Columbia--(Newsfile Corp. - July 29, 2019) - Chesapeake Gold Corp. (TSXV: CKG) (\"Chesapeake\" or the \"Company\"), is pleased to announce that it has entered into an agreement with Mackie Research Capital Corporation as lead underwriter (the \"Underwriter\"), whereby the Underwriter will purchase, on a bought-deal basis, 5,334,000 common shares of Chesapeake (the \"Common Shares\") at a price of $2.25 per Common Share for gross proceeds to the Company of $12,001,500 (the \"Offering\"). The lead order for the Offering is from Mr. Eric Sprott, who intends to subscribe for $12 million of the Offering.In addition, Chesapeake has entered into a non-brokered private placement of 1,334,000 Common Shares at a price of $2.25 per common share for gross proceeds of $3,001,500. The Sun Valley Gold Master Fund, Ltd. is the sole subscriber of the non-brokered private placement financing. The private placement financing is scheduled to close on or about August 19, 2019 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange. The Common Shares to be issued under the Offering will have a hold period of four months and one day from the Closing. The net proceeds from the private placement financing will be used by Chesapeake for working capital and general corporate purposes.In consideration for their services, the Underwriter will receive a cash commission of 4.0% of the gross proceeds of the Offering from Eric Sprott or any of his associates or affiliates. The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the \"U.S. Securities Act\"), or any state securities laws, and accordingly, may not be offered or sold within the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation to buy any securities in any jurisdiction.About ChesapeakeChesapeake Gold Corp. is a development stage company focusing on the discovery, acquisition and development of major gold-silver deposits in North and Central...