Business
Vangold Mining Corp. Closes 2nd Tranche of Working Capital Private Placement
Not for distribution to United States news wire services or for dissemination in the United ...
About this update from Guanajuato Silver Company Ltd.
[{"type":"text","content":"Vangold Mining Corp. Closes 2nd Tranche of Working Capital Private PlacementNot for distribution to United States news wire services or for dissemination in the United StatesVANCOUVER, BC / ACCESSWIRE / May 13, 2019 / Vangold Mining Corp (the \"Company\" or \"Vangold\") (TSXV: VAN) announces that, further to its news release of March 28, 2019, the Company has closed the second tranche of the private placement announced on March 13, 2019 for gross proceeds of $247,975.00, consisting of 4,959,500 units at a price of $0.05 per unit as detailed below. A finder's fee of $14,248 cash and 284,950 warrants was paid.Each unit consists of one common share of the Company and one share purchase warrant (a \"Warrant\"); each Warrant will entitle the holder to purchase one common share of the Company at a price of $0.10 within two years of closing.Insiders, officers, and directors of the Company (collectively \"Insiders\") participated as to 500,000 units of the second closing, which participation constituted \"related party transactions\" for the purposes of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The Company relied upon exemptions from the requirement to obtain a formal valuation and seek minority shareholder approval for the private placement on the basis that the fair market value of the Insiders' participation in the private placement was less than 25% of the Company's current market capitalization.Vangold intends to use the net proceeds from the private placement for general working capital and corporate purposes.All securities issued in connection with the second closing are subject to a four-month hold period expiring September 10, 2019.About Vangold Mining Corp.On December 27, 2018 Vangold announced its intention to complete a Reverse Take Over transaction of private company Aventura Gold Ltd. to gain control of 100% of the Tassawini gold project in Guyana, South America. Completion of the transaction is subject to a number of conditions including, but not limited to, Exchange acceptance and, if applicable, disinterested shareholder approval. There can be no assurance that the transaction will be completed as proposed or at all and accordingly trading in securities of Vangold should be considered highly speculative. Details of the Company's progress regarding the transaction wi...