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Gold Terra Closes Final Tranche of Financing Package Raising a Total of C$2.4 Million with Additional C$2 Million funding from Osisko Gold Royalties
VANCOUVER, BC / ACCESS Newswire / May 12, 2025 / Gold Terra Resource Corp. (TSXV:YGT)(Frankfu...
About this update from Gold Terra Resource Corp.
[{"type":"text","content":"Gold Terra Closes Final Tranche of Financing Package Raising a Total of C$2.4 Million with Additional C$2 Million funding from Osisko Gold RoyaltiesVANCOUVER, BC / ACCESS Newswire / May 12, 2025 / Gold Terra Resource Corp. (TSXV:YGT)(Frankfurt:TX0)(OTCQB:YGTFF) (\"Gold Terra\" or the \"Company\") is pleased to announce it has closed the second and final tranche of a non-brokered financing raising a total of C$2,400,000 consisting of hard dollar and charitable flow-through (together the \"Financing\"). Under the Financing, the Company has issued 20,000,000 common shares of the Company (the \"Shares\") at an issue price of $0.05 per Share for gross proceeds of C$1,000,000 and 20,000,000 charitable flow-through common shares of the Company (the \"CFT Shares\") at an issue price of $0.07 per CFT Share for gross proceeds of C$1,400,000 charitable flow-through. The CFT Shares will qualify as \"flow-through\" shares (within the meaning of subsection 66(15) of the Income Tax Act (Canada)).In addition to the closing of the Financing at C$2,000,000 or more, Osisko Gold Royalties Ltd has elected to early exercise the first tranche of its royalty option for a 2% NSR royalty on Gold Terra's Yellowknife Property in exchange for a cash payment of C$2,000,000. This will give Gold Terra a cash balance of C$4,400,000 less some finders' fees.A finder's fee of 6% cash totaling C$34,320 was paid to certain finders for the total Financing which includes C$7,620 from the second tranche. The Financing is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals including the acceptance of the TSX Venture Exchange.Insiders of Gold Terra participated in the Financing by purchasing a total aggregate of 3,660,000 Shares which includes insider participation of 1,500,000 Shares in the second tranche. Such participation in the Financing constitutes a \"related party transaction\" as defined in Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"61-101\"). The Financing is exempt from the formal valuation and minority shareholder approval requirements of 61-101 as neither the fair market value of the securities issued to related parties nor the consideration for such securities exceed 25% of the Company's market capitalization. The Company did not fil...