Business
Richmond Road Capital Corp. Announces Closing of Private Placement
Calgary, Alberta--(Newsfile Corp. - February 14, 2020) -   Richmond Road Capital Corp. (...
About this update from Fredonia Mining, Inc.
[{"type":"text","content":"Richmond Road Capital Corp. Announces Closing of Private PlacementCalgary, Alberta--(Newsfile Corp. - February 14, 2020) -  Richmond Road Capital Corp. (TSXV: RRD.H) (\"Richmond Road\" or the \"Company\") is pleased to announce the closing of the private placement announced on January 29, 2020 (the \"Private Placement\"). The Company has closed on aggregate gross proceeds of $50,000 through the issuance of 1,000,000 common shares of the Company (\"Common Shares\") at a purchase price of $0.05 per share. It is anticipated that net proceeds of the Private Placement will be used to identify and evaluate assets or businesses for the Company's Qualifying Transaction (as such term is defined in the policies of the TSX Venture Exchange (the \"Exchange\")), to fund the costs of the Company's continuous disclosure obligations and for general working capital purposes. The Common Shares issued pursuant to the Private Placement were issued to insiders, thereby making the Private Placement a \"related party transaction\" as defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"). Upon completion of the Private Placement, insiders Michael Doyle (Chief Executive Officer and a director), Berkley Pennock (Chief Financial Officer and a director), Michael Brown (director) and Robb McNaughton (director) each purchased, individually or through a company owned and controlled by such individual, 200,000 Common Shares thereby each owning, directly or indirectly, 450,000 Common Shares or 7.5% of the total issued and outstanding Common Shares. Brett Undershute purchased 200,000 Common Shares pursuant to the Private Placement through a company owned and controlled by such individual thereby becoming an insider with total holdings of 700,000 Common Shares or 11.67% of the total issued and outstanding Common Shares held by him individually and through a company owned and controlled by him. Pursuant to MI 61-101, the Company is exempt from the requirements to obtain a formal valuation and minority approval for the issuance of such Common Shares to these related parties pursuant to Sections 5.5(b) and 5.7(1)(a) of MI 61-101 given the Company's Common Shares are listed on the NEX, a separate board of the Exchange, and the value of the transaction, in so far as it involved related parti...