Business
Kuya Silver Announces Closing of First Tranche of Non-Brokered Financing
Vancouver, British Columbia--(Newsfile Corp. - December 9, 2022) - Kuya Silver Corporation (CSE: KUYA) (OTCQB: KUYAF) (FSE: 6MR1) (the "Company" or "Kuya Silver
About this update from Kuya Silver Corporation
[{"type":"text","content":" Vancouver, British Columbia--(Newsfile Corp. - December 9, 2022) - Kuya Silver Corporation (CSE: KUYA) (OTCQB: KUYAF) (FSE: 6MR1) (the \"Company\" or \"Kuya Silver\") is pleased to announce that it has closed the first tranche of its non-flow-through offering for aggregate gross proceeds of CAD$227,500 by issuing 529,070 units (each, a \"Unit\") at a price of CAD$0.43 per Unit (the \"First Tranche\"). Each Unit is comprised of one (1) common share in the capital of the Company (each a \"Common Share\") and one (1) non-transferable Common Share purchase warrant (each, a \"Warrant\"). Each Warrant entitles the holder to purchase one (1) Common Share at a price of CAD$0.70 per Common Share for a period of 36 months from the date of issuance. In connection with the First Tranche, the Company paid finder's fees of CAD$5,760, equal to 6% of the total proceeds raised by eligible finders, and issued 13,395 finder options (each, a \"Finder Option\"), equal to 6% of the number of Units sold by eligible finders. The Finder Options are exercisable at $0.43 for a period of one (1) year from the date of issuance and are comprised of one (1) Common Share and one (1) Common Share purchase warrant (each a \"Finder Warrant\"). Each Finder Warrant entitles the holder to purchase one (1) Common Share at a price of CAD$0.70 per Common Share for a period of 36 months from the date of issuance. The First Tranche constituted a \"related party transaction\" as defined in Multilateral Instrument 61-101 - Protection of Minority Securityholders in Special Transactions (\"MI 61-101\"), as David Stein, President and CEO, acquired 250,000 Units. Mr. Stein now holds 9,833,414 Common Shares or 17.83%. The Company is relying on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, as the fair market value of the participation in the First Tranche by the insider does not exceed 25% of the market capitalization of the Company, as determined in accordance with MI 61-101. The Company did not file a material change report in respect of the related party transaction at least 21 days before the closing of the First Tranche, which the Company deems reasonable in the circumstances in order to complete the First Tranche in an expeditious manner. The Company intends to use the...