Business
Heliostar Announces Closing of Upsized $7 Million Offering
Vancouver, British Columbia--(Newsfile Corp. - July 11, 2023) - Heliostar Metals Ltd. (TSXV: HSTR...
About this update from Heliostar Metals Ltd
[{"type":"text","content":"Heliostar Announces Closing of Upsized $7 Million OfferingVancouver, British Columbia--(Newsfile Corp. - July 11, 2023) - Heliostar Metals Ltd. (TSXV: HSTR) (OTCQX: HSTXF) (FSE: RGG1) (the \"Company\" or \"Heliostar\") is pleased to announce that it has closed its previously announced private placement offering (the \"Offering\") for aggregate gross proceeds of approximately $7,000,000.Pursuant to the Offering:a total of 9,990,200 units of the Company (the \"Units\") were offered at a price of $0.37 per Unit (the \"Issue Price\") by Clarus Securities Inc. (\"Clarus\"), as lead agent, on behalf of a syndicate of agents including PI Financial Corp. and Roth Canada, Inc. (collectively, the \"Agents\") for gross proceeds of $3,696,374 pursuant to the listed issuer financing exemption under Part 5A of National Instrument 45-106 – Prospectus Exemptions (the \"Brokered Portion\"); anda total of 8,928,824 Units were offered directly by the Company at the Issue Price pursuant to a concurrent non-brokered private placement for additional gross proceeds of $3,303,664.88 (the \"Non-Brokered Portion\").Each Unit is comprised of one common share in the capital of the Company (\"Common Share\") and one-half of one Common Share purchase warrant (each whole warrant, a \"Warrant\"). Each Warrant will entitle the holder to purchase one Common Share for a period of 18 months, at an exercise price of $0.50 for an initial period of six months, after which time the exercise price will increase to $0.70 for the remaining term of the Warrant.The Company intends to use the net proceeds of the Offering to continue the exploration and development work on its Ana Paula Project in Guerrero, Mexico, as well as general corporate working capital purposes.The Units issued pursuant to the Brokered Portion are not subject to resale restrictions pursuant to applicable Canadian securities laws. The Units issued pursuant to the Non-Brokered Portion will be subject to the statutory hold period of four months and one day from the date of issuance in accordance with applicable Canadian securities laws. Closing of the Offering is subject to final approval of the TSX Venture Exchange (the \"TSXV\").As consideration for their services in connection with the Brokered Portion, the Company paid the Agents a cash commission of $221,782.44 and a corporate finance fe...