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Columbus Energy Limited Announces a Non-Brokered Private Placement to Raise up to $800,000 and the Re-Pricing of 36,859,650 Warrants
Vancouver, British Columbia--(Newsfile Corp. - October 31, 2013) - Columbus Energy Limited (TSXV...
About this update from Columbus Energy Limited
[{"type":"text","content":"Columbus Energy Limited Announces a Non-Brokered Private Placement to Raise up to $800,000 and the Re-Pricing of 36,859,650 WarrantsVancouver, British Columbia--(Newsfile Corp. - October 31, 2013) - Columbus Energy Limited (TSXV: CEL) (The \"Company\") has negotiated, subject to regulatory approval, up to a 16,000,000 unit private placement, at $0.05 per unit to raise proceeds of up to $800,000. Each unit will consist of one common share and one transferable share purchase warrant allowing the purchaser to purchase one additional share, for a period of five years, at a price of $0.05. A finder's fee will be paid on a portion of the placement in accordance with TSX Venture Exchange policies.Certain directors and officers of the Company may acquire securities under the private placement. Any such participation would be considered to be a \"related party transaction\" as defined under Multilateral Instrument 61-101 (\"MI 61-101\"). The transaction will be exempt from the formal valuation and minority shareholder approval requirements of the MI 61-101 as neither the fair market value of any units issued to or the consideration paid by such person will exceed 25% of the Company's market capitalization.The Company is also making application to the TSX Venture Exchange to reduce the exercise price of it's 36,859,650 outstanding share purchase warrants from $0.10 to $0.05.The warrants were issued in two private placements. The first placement closed on April 30, 2010 and resulted in the issuance of 8,250,000 warrants at an exercise price of $0.10 expiring on April 30, 2015The second private placement closed on December 20, 2010 and resulted in the issuance of 28,609,650 warrants at an exercise price of $0.10 expiring on December 20, 2015.None of the warrants have been exercised. Insiders of the Company hold 1,300,000 warrants or 3.5% of the total warrants to be re-priced.The proceeds from the private placement and exercise of warrants will be used for paying Company liabilities and working capital.\"Douglas W. Scheving\"Columbus Energy LimitedDirector/Corporate SecretaryContact Information:Douglas W. Scheving,Director and Corporate SecretaryPhone 1 604 684 7619Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or ...