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Northway Resources: Kenorland Closes C$10 Million Brokered Private Placement
Vancouver, British Columbia--(Newsfile Corp. - November 4, 2020) - Northway Resources Corp. (TSXV: NTW) ("Northway") and Kenorland Minerals Ltd. ("Kenorland") j
About this update from Kenorland Minerals Ltd.
[{"type":"text","content":" Vancouver, British Columbia--(Newsfile Corp. - November 4, 2020) - Northway Resources Corp. (TSXV: NTW) (\"Northway\") and Kenorland Minerals Ltd. (\"Kenorland\") jointly announce that further to their press release dated September 28, 2020, Kenorland has closed its previously announced brokered private placement of subscription receipts (the \"Offering\"). Pursuant to the Offering, Kenorland issued a total of 10,000,000 subscription receipts (each, a \"Subscription Receipt\"), at a price of C$1.00 per Subscription Receipt for gross proceeds of C$10.0 million. The Offering was led by Stifel GMP and included a syndicate of agents, including Canaccord Genuity Corp, Haywood Securities Inc., Laurentian Bank Securities Inc. and Echelon Wealth Partners Inc. (the \"Agents\"). Each Subscription Receipt entitles the holder thereof to receive, without any further action on the part of the holder or payment of any additional consideration, one common share (each, a \"Resulting Issuer Share\") of the resulting issuer (the \"Resulting Issuer\"), upon completion of the Transaction (as defined below), subject to the satisfaction or waiver of the Escrow Release Conditions (as defined herein) prior to December 31, 2020 (the \"Outside Date\"), and provided that the Transaction has not otherwise been terminated. As set out in the press release of September 14, 2020, Northway's acquisition of Kenorland is to be conducted by way of a three-cornered amalgamation among Northway, Kenorland and a wholly-owned subsidiary of Northway (the \"Amalgamation\") which will result in the reverse takeover of Northway by Kenorland (the \"Transaction\"). The Resulting Issuer is expected to be named \"Kenorland Minerals Ltd.\" or such other name as Northway and Kenorland may determine. As previously announced, prior to the completion of the Transaction, Northway intends to undertake a common share consolidation (the \"Consolidation\") on a 7-to-1 basis. In addition, pursuant to the Amalgamation, the common shares of Kenorland (the \"Kenorland Shares\") will be exchanged for Resulting Issuer Shares on a 1-for-2 basis. Following the Consolidation and Amalgamation, each Subscription Receipt will entitle the holder to receive one Resulting Issuer Share on completion of the Transaction. In the event that the Consolidation is not completed on a 7-to-1 basis and/or the ex...