Business
Compass Gold Closes $700,000 Private Placement
Investor Demand Increases Previously Announced Proceeds by $100,000 Toronto, Ontario--(Newsfile ...
About this update from Compass Gold Corporation
[{"type":"text","content":"Compass Gold Closes $700,000 Private PlacementInvestor Demand Increases Previously Announced Proceeds by $100,000Toronto, Ontario--(Newsfile Corp. - September 25, 2025) - Compass Gold Corporation (TSXV: CVB) (\"Compass\" or the \"Company\") announced today that it has issued, on a non-brokered private placement basis, 4,666,667 units of the Company (\"Units\"), at a price of $0.15 per Unit, for aggregate gross proceeds of $700,000 (the \"Offering\"). Each Unit consisted of one common share of the Company (a \"Common Share\") and one-half of one Common Share purchase warrant (each whole Common Share purchase warrant, a \"Warrant\"), with each Warrant entitling the holder thereof to purchase one additional Common Share at a price of $0.20 for a period of two years from the date of issuance. As a result of investor demand, the final gross proceeds of the Offering exceeded the Company's previously announced Unit purchase commitments by $100,000. (See Compass news release dated September 16, 2025.)The proceeds of the Offering will be used to fund the continuing development and initial execution of the Company's Small Mine Strategy at Massala, and for general corporate purposes.Additional details concerning the OfferingIn connection with the Offering, and subject to compliance with the policies of the TSX Venture Exchange and applicable securities legislation, the Company paid finder's fees equal to 7.0% of the gross proceeds received from the sale of certain Units. In aggregate, the Company paid $4,200 in cash, and issued 121,333 Common Shares (at a deemed value of $0.15 per Common Share) as finder's fees pursuant to the Offering.Insiders of the Company purchased an aggregate of 273,335 Units under the Offering for total consideration of $41,000. Such participation is considered a \"related party transaction\" within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"). Participation by insiders in the Offering was exempt from (i) the valuation requirements of MI 61-101 by virtue of the exemption contained in Section 5.5(b) of MI 61-101, as the Company is listed only on the TSX Venture Exchange; and (ii) the minority shareholder approval requirements of MI 61-101 by virtue of the exemption contained in Section 5.7(1)(a) of MI 61-101, as at the time the Offerin...