Business
Maple Gold arranges up to C$1,132,000 non-brokered Financing
Montreal, Quebec--(Newsfile Corp. - December 19, 2019) - Maple Gold Mines Ltd. (TSXV: MGM) (O...
About this update from Maple Gold Mines Ltd
[{"type":"text","content":"Maple Gold arranges up to C$1,132,000 non-brokered FinancingMontreal, Quebec--(Newsfile Corp. - December 19, 2019) - Maple Gold Mines Ltd. (TSXV: MGM) (OTCQB: MGMLF) (FSE: M3G) (\"Maple Gold\" or the \"Company\") is pleased to announce that it has arranged a non-brokered flow-through financing for aggregate gross proceeds of C$1,008,000 million (the \"Offering\") through the issuance of 7,200,000 common shares (the \"Flow Through Shares\") at a price of C$0.14 per Flow Through Share. The Company has also arranged up to C$124,000 in hard dollar private placement financing through the issuance of up to 1,550,000 shares (the \"Shares\") at a price of C$0.08 per Share. Certain directors and officers (the \"Insiders\") of the Company are subscribing for approximately 53% of the Shares. The subscription of Shares to Insiders pursuant to the private placement is considered to be a related party transaction subject to Multilateral Instrument 61-101. The Company intends to rely on exemptions from the formal valuation and minority shareholder approval requirements provided under sections 5.5(a) and 5.7(a) of Multilateral Instrument 61-101 on the basis that participation in the private placement by insiders will not exceed 25% of the fair market value of the Company's market capitalization.Maple Gold's President and CEO, Matthew Hornor, stated: \"This flow-through raise at a significant premium to market allows the Company to enter 2020 with additional funds for exploration and drilling at Douay. Our technical team has done an excellent job creating new models and target concepts and this financing puts us in a better position to start testing more of our priority targets in the New Year.\"The Flow Through Shares will be \"flow-through\" shares pursuant to the Income Tax Act (Canada) and will be subject to a statutory hold period of four-months plus one day from the date of closing. The Company intends to use the net proceeds from the private placement to continue advancing the Douay Gold Project. The Offering is anticipated to close next week and is subject to the receipt of all necessary approvals, including the approval of the Exchange.The securities offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended, (the \"U.S. Securities Act\") or any U.S. state securities laws, and may not b...