Business
Initial Closing of US$5.6 Million Private Placement
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES LON...
About this update from Gabriel Resources Ltd.
[{"type":"text","content":"Initial Closing of US$5.6 Million Private PlacementNOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATESLONDON, UK / ACCESSWIRE / June 20, 2022 / Further to the news release of May 24, 2022, Gabriel Resources Ltd. (TSXV trading symbol:GBU - \"Gabriel\" or the \"Company\") is pleased to announce that it has completed an initial closing of its previously announced non-brokered private placement (the \"Private Placement\") of 33,105,117 common shares of the Company (\"Common Share\") at a price of $0.215 per Common Share (\"Purchase Price\") for gross proceeds of US$5.6 million (approximate $7.1 million), subject to stock exchange and other approvals as applicable.In connection with the initial closing of the Private Placement, the Company has issued an aggregate of 29,950,776 Common Shares for gross proceeds of US$5.07 million (approximately $6.4 million) which represents approximately 3.1% of the Common Shares currently issued and outstanding on a non-diluted basis prior to the Private Placement and are subject to a statutory 4-month hold period expiring on October 18, 2022.It is anticipated that the remainder of the Private Placement may close on or about June 24, 2022 or such earlier or later date as may be determined by the Company, subject to satisfaction or waiver by the relevant party of the conditions of closing.The Company is progressing with its arbitration case against Romania before the World Bank's International Centre for Settlement of Investment Disputes (\"ICSID Arbitration\") and intends to use the proceeds of the Private Placement to finance the costs of the ongoing ICSID Arbitration and for general working capital requirements.The Private Placement was conditionally approved by the TSX Venture Exchange (the \"Exchange\") on May 25, 2022. The Private Placement remains subject to final acceptance by the Exchange and the receipt of all other applicable approvals. The Company will not pay a cash finder's fee in connection with the Private Placement.The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the \"U.S. Securities Act\") or any state securities laws and accordingly may not be offered or sold within the United States or to \"U.S. persons\", as such term is defined in Regulation S promulgated under ...