Business
Grande Portage Announces Closing of Short Form Prospectus Offering
Vancouver, British Columbia--(Newsfile Corp. - September 20, 2018) - Grande Portage Resources...
About this update from Grande Portage Resources Ltd.
[{"type":"text","content":"Grande Portage Announces Closing of Short Form Prospectus OfferingVancouver, British Columbia--(Newsfile Corp. - September 20, 2018) - Grande Portage Resources Ltd. (TSXV: GPG) (\"Grande Portage\" or the \"Company\") further to the Company's press release dated June 13, 2018, the Company is pleased to announce that it has closed the short form prospectus offering through Mackie Research Capital Corporation (\"MRCC\"), acting as agent, resulting in the issuance of 11,600,000 units of the Company (the \"Units\") at the price of $0.20 per Unit (the \"Issue Price\") to raise aggregate gross proceeds of $2,320,000 (the \"Offering\"). Each Unit consisted of one (1) common share of the Company (the \"Common Shares\") and one-half (1/2) of one common share purchase warrant (the \"Warrants\"). Each whole Warrant is exercisable to purchase one (1) additional Common Share at an exercise price of $0.275, subject to adjustment, until September 20, 2019, subject to the Company's right to accelerate the exercise of the Warrants, in the event that trading price of its common shares is equal to or greater than $0.50 per share for ten (10) consecutive trading days.The Company paid MRCC a 7.0% commission, plus a $50,000 work fee, and issued to MRCC and a member of its selling group share purchase warrants to purchase up to an aggregate of 1,160,000 Common Shares at $0.20 per Common Share until September 20, 2019 (the \"Agent's Warrants\"), and compensation options to purchase up to an additional 750,000 Common Shares on the same terms as the Agent's Warrants (the \"Agent's Compensation Options\"). The Agent's Compensation Options bear resale restrictions until January 21, 2019. The Company intends to use the net proceeds of the Offering, and any proceeds from the exercise of any Warrants, Agent's Warrants, or Agent's Compensation Options to advance the exploration and development of the Company's Herbert Gold Property, Alaska, and for general working capital. The Company believes that this financing strengthens the Company's balance sheet and is integral to Grande Portage's strategy for further growth and development. The Company's short form prospectus for the Offering dated July 31, 2018 (the \"Prospectus\") was filed with the securities commissions in the Provinces of British Columbia and Alberta, as well as with the Superintendent of Securitie...