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Geomega Resources Announces Closing of Final Tranche of Financing for a Combined Total of $1.2M
MONTREAL, July 10, 2019 (GLOBE NEWSWIRE) -- Geomega Resources Inc. (“Geomega” or the “Corporation”) (TSX.V: GMA) announces the second and final closing of a non
About this update from Geomega Resources Inc.
[{"type":"text","content":" MONTREAL, July 10, 2019 (GLOBE NEWSWIRE) -- Geomega Resources Inc. (“Geomega” or the “Corporation”) (TSX.V: GMA) announces the second and final closing of a non-brokered private placement offering (the “Offering”) in the amount of $317,755, consisting of a total of 2,269,822 units (the “Units”) at a price of $0.14 per Unit. Together with the first tranche, the Offering has resulted in aggregate proceeds of $1,232,010. The Offering of Units consists of one common share (each a “Common Share”) and one-half of one share purchase warrant (each whole warrant, a “Warrant”). Each Warrant entitles the holder thereof to acquire one additional common share at a price of $0.20 per share for a period of twenty-four (24) months from the closing date. The Offering is subject to receipt of regulatory approval, including the final approval of the TSX Venture Exchange. The securities to be issued under the Offering will have a hold period of four months and one day from their issue. “Thanks to the strong support from our shareholders, we were able to reach and surpass our original goal for this financing and raised a total of $1.2M. We are now looking forward to completing the final portion of our construction funding and begin the next exciting phase in Geomega’s development. The Corporation is finalizing its discussions with government and institutional groups and will provide an update as soon as it is available. The Corporation is also close to securing the ideal location for the demonstration plant which is required to complete the ongoing FEED study. The Corporation is expected to be in a position to begin the construction process on schedule in the coming months,” commented Kiril Mugerman, President and CEO of Geomega. The Corporation will use the proceeds of the Offering for construction of the demonstration plant, working capital and operating expenses. Certain members of the executive management of the Corporation, being Mathieu Bourdeau, the Chief Financial Officer, have participated in this second closing of the Offering in the aggregate amount of $5,005 (the “Insiders’ Participation”). In total, the Insiders participated for $63,035 in the combined closings. The Insiders’ Participation is considered a “related party transaction” under Regulation 61-101 respecting Protection of Minority Security Holders in Special Transactions...