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Galway Metals Announces $12 Million Bought Deal Private Placement Financing
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED ...
About this update from Galway Metals, Inc.
[{"type":"text","content":"Galway Metals Announces $12 Million Bought Deal Private Placement FinancingNOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATESTORONTO, ON / ACCESSWIRE / February 23, 2021 / Galway Metals Inc. (TSXV:GWM) (\"Galway Metals\" or the \"Company\"), is pleased to announce that it has entered into an agreement with Paradigm Capital Inc. on behalf of a syndicate of underwriters (collectively, the \"Underwriters\"), in connection with a bought deal private placement financing (the \"Offering\") for total proceeds of $12 million, consisting of 4,138,000 common shares of the Company that qualify as \"flow-through shares\" (within the meaning of subsection 66(15) of the Income Tax Act (Canada)) (the \"National FT Shares\") at a price of $1.45 per National FT Share, 1,087,000 common shares of the Company that qualify as \"flow-through shares\" (within the meaning of subsection 66(15) of the Income Tax Act (Canada) and section 359.1 of the Taxation Act (Québec)) (the \"QC FT Shares\" and together with the National FT Shares the \"FT Shares\") at a price of $1.84 per QC FT Share and 3,809,600 common shares of the Company (\"Hard Dollar Shares\") at a price of $1.05 per Hard Dollar Share.The Company will use an amount equal to the gross proceeds received by the Company from the sale of the FT Shares, pursuant to the provisions in the Income Tax Act (Canada), to incur eligible \"Canadian exploration expenses\" that qualify as \"flow-through mining expenditures\" as both terms are defined in the Income Tax Act (Canada) (the \"Qualifying Expenditures\") on or before December 31, 2022, and to renounce all the Qualifying Expenditures in favour of the subscribers of the FT Shares effective December 31, 2021. The proceeds from the sale of the Hard Dollar Shares will be used for exploration, updating technical studies, and for general corporate purposes.The Offering is subject to regulatory approval and all securities issued pursuant to the Offering will have a hold period of four months and one day.The securities have not been, and will not be, registered under the Unites States Securities Act of 1933, as amended (the \"U.S. Securities Act\"), or any U.S. state security laws, and may not be offered or sold in the Unites States without registration under the U.S. Securities Act and all applicable state...