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Golden Shield Resources Announces C$6 Million Brokered Private Placement
VANCOUVER, BC, June 9, 2022 /CNW/ - Golden Shield Resources Corp. (CSE: GSRI) (Frankfurt: 4LE0) ("Golden Shield" or the "Company") announced today that it has e
About this update from Golden Shield Resources Inc.
[{"type":"text","content":" VANCOUVER, BC, June 9, 2022 /CNW/ - Golden Shield Resources Corp. (CSE: GSRI) (Frankfurt: 4LE0) (\"Golden Shield\" or the \"Company\") announced today that it has entered into an agreement with Canaccord Genuity Corp. (the \"Agent\"), pursuant to which the Agent will act as agent for the Company on a 'best efforts' agency basis in connection with a private placement of 10,909,090 units (the \"Units\") of the Company at a price of C$0.55 per Unit (the \"Offering Price\") for gross proceeds to the Company of C$6,000,000 (the \"Offering\"). Each Unit will consist of one common share in the capital of the Company (a \"Common Share\") and one-half of one Common Share purchase warrant (each whole Common Share purchase warrant, a \"Warrant\"). Each Warrant will entitle the holder thereof to purchase one Common Share (a \"Warrant Share\") at a price of C$1.00 for a period of 24 months following the closing date of the Offering. The Warrants will be subject to an accelerated expiry date, which comes into effect if the trading price of the Company's common shares on the Canadian Securities Exchange (the \"CSE\") close at or above C$1.10 per common share for any five days over any period of seven consecutive trading days. If that event occurs, the Company will give an expiry acceleration notice (\"Notice\") to Warrant holders and the expiry date of the Warrants will be deemed to be 21 days from the date of the Notice. The Company has agreed to grant the Agent an option (the \"Over-Allotment Option\") to sell up to an additional 1,636,364 Units at the Offering Price, exercisable, in whole or in part, at any time up to 48 hours prior to the closing of the Offering to cover over-allotments, if any. If the Over-Allotment Option is exercised in full, an additional approximately C$900,000 in gross proceeds will be raised pursuant to the Offering and the aggregate gross proceeds of the Offering will be approximately C$6,900,000. The net proceeds from the Offering will be used to advance exploration, as well as for working capital and general corporate purposes. The Units will be offered for sale by way of private placement pursuant to applicable exemptions from the prospectus requirements in all of the Provinces of Canada. The Agent will also be entitled to offer the Units for sale in the United States pursuant to available exemptions ...