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Lion One Metals Announces C$20 Million “Bought Deal” Private Placement of Units
NORTH VANCOUVER, British Columbia, July 23, 2020 (GLOBE NEWSWIRE) -- Lion One Metals Limited (TSX-V: LIO) (OTCQX: LOMLF) (ASX: LLO) ("Lion One" or the "Company"
About this update from Lion One Metals Limited
[{"type":"text","content":" NORTH VANCOUVER, British Columbia, July 23, 2020 (GLOBE NEWSWIRE) -- Lion One Metals Limited (TSX-V: LIO) (OTCQX: LOMLF) (ASX: LLO) (\"Lion One\" or the \"Company\") is pleased to announce that it has entered into an agreement with Haywood Securities Inc. and Echelon Wealth Partners Inc. as co-lead underwriters on behalf of a syndicate of underwriters (collectively, the \"Underwriters\"), pursuant to which the Underwriters have agreed to purchase, on a \"bought deal\" private placement basis, 11,765,000 units of the Company (the \"Units\") at a price of C$1.70 per Unit (the “Issue Price”), for total gross proceeds of C$20,000,500 (the \"Offering\"). Each Unit will consist of one common share (a “Common Share”) in the capital of the Company and one-half (1/2) of one common share purchase warrant (each whole common share purchase warrant, a “Warrant”) of the Company. Each Warrant shall be exercisable to acquire one Common Share (a “Warrant Share”) at a price per Warrant Share of C$2.35 for a period of 12 months from the closing date of the Offering. The Company has granted the Underwriters an option to purchase up to an additional 15% of the Offering in Units (the \"Underwriters’ Option\"), exercisable in whole or in part at any time up to 48 hours prior to the closing date. The net proceeds from the sale of the Units will be used for exploration and development of the Company’s Tuvatu Gold Project, as well as working capital and general corporate purposes. The Offering is expected to close on or about August 11, 2020 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange and the applicable securities regulatory authorities. The Units to be issued under the Offering will be subject to a hold period in Canada expiring four months and one day from the closing date of the Offering. In connection with the Offering, the Underwriters will receive a cash commission of 6.0% of the gross proceeds of the Offering and that number of non-transferable compensation options (the “Compensation Options”) as is equal to 6.0% of the aggregate number of Units sold under the Offering. Each Compensation Option is exercisable into one Common Share of the Company at the Issue Price for ...