Business
District Metals Announces $3 Million Brokered Private Placement Financing
Vancouver, British Columbia--(Newsfile Corp. - January 30, 2023) - District Metals Corp. (TSXV:...
About this update from District Metals Corp.
[{"type":"text","content":"District Metals Announces $3 Million Brokered Private Placement FinancingVancouver, British Columbia--(Newsfile Corp. - January 30, 2023) - District Metals Corp. (TSXV: DMX) (FSE: DFPP) (\"District\" or the \"Company\") is pleased to announce that it has entered into an agreement with PI Financial Corp. (the \"Agent\") to act as lead agent and sole bookrunner, on behalf of a syndicate of agents including Haywood Securities Inc (together with the Agent, the \"Agents\"), for a marketed best efforts private placement of up to 20,000,000 units (the \"Units\"), at a price of C$0.15 per Unit (the \"Offering Price\") to raise aggregate gross proceeds of up to C$3,000,000, subject to a minimum offering of 16,574,440 Units for aggregate gross proceeds of C$2,486,166 (the \"Offering\").Each Unit shall be comprised of one common share (\"Common Share\") in the capital of the Company and one-half of one Common Share purchase warrant (each whole such warrant, a \"Warrant\") of the Company. Each Warrant shall entitle the holder thereof to acquire one Common Share at a price of C$0.20 for a period of three (3) years from the closing date (the \"Closing Date\") of the Offering. The net proceeds from the Offering will be used for exploration activities at the Company's polymetallic properties in Sweden, and for working capital and general corporate purposes.All of the Units offered in the Offering shall be offered to purchasers pursuant to the listed issuer financing exemption under Part 5A of National Instrument 45-106 - Prospectus Exemptions and will not be subject to resale restrictions pursuant to applicable Canadian securities laws.The Offering is anticipated to close on or about February 9, 2023, or such later date as the Company may determine. The closing is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals, including the approval of the TSX Venture Exchange.The Company has agreed to pay to the Agents a cash commission equal to 6% of the gross proceeds of the Offering. In addition, the Company has agreed to issue to the Agents compensation options of the Company exercisable for a period of 36 months, to acquire in aggregate that number of Common Shares which is equal to 6% of the number of Units sold under the Offering at the Offering Price.There is an offering do...