Business
Electric Metals (USA) Limited ("EML") Provides Update on Non-Brokered Financing
EML previously issued 5,319,149 Units to Quail Bend for gross proceeds of $1,250,000. EML has ...
About this update from Electric Metals Usa Limited
[{"type":"text","content":"Electric Metals (USA) Limited (\"EML\") Provides Update on Non-Brokered FinancingEML previously issued 5,319,149 Units to Quail Bend for gross proceeds of $1,250,000.EML has entered into subscription agreements for the purchase and sale of an additional 15,957,447 units for additional proceeds of $3,750,000, subject to, among other things, shareholder and TSX Venture Exchange approval.Toronto, Ontario--(Newsfile Corp. - August 22, 2023) - Electric Metals (USA) Limited (TSXV: EML) (\"EML\" or the \"Company\"), further to its press releases of May 16, 2023 and June 19, 2023, is pleased to announce it has received subscription agreements (the \"Agreements\") from Quail Bend LLC (\"Quail Bend\") for the purchase and sale of a further 15,957,447 units (the \"Units\"), to be completed in two tranches: the first is expected to be for 1,702,128 Units for proceeds of $400,000.08 (the \"First Tranche\") and the second is expected to be for a further 14,255,319 Units for proceeds of $3,349,999.97, for aggregate proceeds of the two tranches of $3,750,000.05 (the \"Second Tranche\"). The Agreements will be fully executed on closing. The First Tranche is expected to be completed on or about August 25, 2023, subject to receipt of TSX Venture Exchange (\"TSXV\") approval. The Second Tranche is expected to be completed as described below.The Company has previously closed a first closing of this financing of a maximum of 21,276,596 Units (the \"Offering\") on June 16, 2023. Please see the Company's press release dated June 19, 2023. Pursuant to such first closing, the Company issued a total of 5,319,149 Units for gross proceeds of $1,250,000.02. Each Unit in the Offering is priced at $0.235 per unit and consists of one common share in the capital of the Company (each, a \"Common Share\") and one common share purchase warrant (each, a \"Warrant\") with each Warrant exercisable to acquire one additional Common Share at an exercise price of $0.35 for a period of 24 months from the date of issuance of the Warrant, which may be cashlessly exercised subject to certain conditions. The Offering is being conducted in connection with a binding letter of intent between the Company and Quail Bend dated May 12, 2023 (the \"LOI\"), as amended effective August 21, 2023, pursuant to which Quail Bend, or a special purposes vehicle (the \"SPV\") created by Quail B...