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Freegold Announces Closing of $5 Million First Tranche of Brokered Private Placement Financing and Provides Operational Update
Freegold Announces Closing of $5 Million First Tranche of Brokered Private Placement Finan...
About this update from Freegold Ventures Limited
[{"type":"text","content":"\n\n\n\nFreegold Announces Closing of $5 Million First Tranche of Brokered Private Placement Financing and Provides Operational Update\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nVANCOUVER, May 26, 2020\n\n\n\n/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES./\n VANCOUVER, May 26, 2020 /CNW/ - Freegold Ventures Limited (TSX: FVL) (\"Freegold\" or the \"Company\") announces that further to its news release of May 7, 2020, the Company has closed the fully subscribed first tranche of its previously announced brokered private placement for aggregate gross proceeds of $5 million (the \"Private Placement\").\nParadigm Capital Inc. acted as sole agent (the \"Agent\") on the Private Placement of Units (the \"Units\") of the Company and subscription receipts (the \"Subscription Receipts\").  In connection with the Private Placement, the Company entered into an agency agreement (the \"Agency Agreement\") dated May 26, 2020, between the Company and the Agent pursuant to which the Company issued 20,895,674 Units at a price of $0.17 per Unit and 8,516,326 Subscription Receipts at a price of $0.17 per Subscription Receipt. \nEach Unit will consist of one common share (each a \"Common Share\") and one-half of one common share purchase warrant (each whole warrant a \"Warrant\"). Each whole Warrant will entitle the holder thereof to purchase one Common Share at a price of $0.28, for a period of 2 years following the Closing Date.  Each Subscription Receipt will entitle the holder thereof to receive, without payment of any additional consideration, one Unit.\nThe second tranche of the Private Placement of up to $5 million of Subscription Receipts is expected to close on June 2, 2020.\nMr. Eric Sprott has agreed to invest a total of $6 million in the Private Placement, including $2 million in the first tranche and $4 million in the second tranche. In the first tranche, Mr. Sprott purchased 3,248,474 Units which increased his fully diluted ownership interest in...