Business
Falco Resources Completes Private Placement of $10.8 Million With Strategic Quebec Investors
MONTREAL, QC--(Marketwired - January 26, 2017) - Falco Resources Ltd. ("Falco" or the "Company") (TSX VENTURE: FPC) is pleased to announce that it has closed it
About this update from Falco Resources Ltd.
[{"type":"text","content":"MONTREAL, QC--(Marketwired - January 26, 2017) - Falco Resources Ltd. (\"Falco\" or the \"Company\") (TSX VENTURE: FPC) is pleased to announce that it has closed its non-brokered private placement of units, previously announced in November 2016, with three strategic Québec investors, namely Ressources Québec inc., acting as a mandatary for the government of Québec, Capital Croissance PME II, s.e.c. and SIDEX, s.e.c., pursuant to which the Company has issued 10,093,083 units of the Company (\"Units\") at a price of $1.07 per Unit, for aggregate gross proceeds of $10,799,600 (the \"Offering\"). Each Unit consists of one common share in the capital of the Company and one-half of one common share purchase warrant (each whole common share purchase warrant, a \"Warrant\"). Each Warrant is exercisable to acquire one additional common share (a \"Warrant Share\") of the Company for a period of 18 months from the closing date of the Offering at an exercise price of $1.45 per Warrant Share. The expiry date of the Warrants may be accelerated by the Company at any time following the six-month anniversary of the closing of the Offering and prior to the expiry date of the Warrants if the volume-weighted average trading price of the Company's common shares is greater than $1.75 for any 20 consecutive trading days, by issuing a press release announcing the reduced warrant term whereupon the Warrants will expire on the 20th calendar day after the date of such press release. The net proceeds of the Offering will be used by the Company to advance the dewatering program related to the development of the Horne 5 Deposit, for regional exploration and for general working capital. The Offering was conditionally approved by the TSX Venture Exchange (the \"TSXV\") in November 2016, and the TSXV has agreed to extend the timeframe for closing of the Offering in order to allow the Company to complete the Offering. Securities issued under the Offering are subject to a four month hold period expiring on May 27, 2017. The Offering was completed on a private placement basis pursuant to prospectus exemptions of applicable securities laws and is subject to final acceptance by the TSXV. As a result of the Offering, 156,776,406 common shares of Falco are issued and outstanding. Luc Lessard, President and Chief Executive Officer of Falco, stated: \"We are very please...