Must Capital Announces Proposed Private Placement

About this update from Must Capital, Inc.

[{"type":"text","content":"Must Capital Announces Proposed Private PlacementToronto, Ontario--(Newsfile Corp. - March 7, 2019) - Must Capital Inc. (TSXV: MUST.H) (the \"Company\") is pleased to announce that it intends to raise gross proceeds of up to $1,000,000 through a non-brokered private placement of up to 16,666,667 units (the \"Units\") of the Company at a price of $0.06 per Unit. Each Unit will consist of one common share and one common share purchase warrant (the \"Warrants\"). Each Warrant will entitle the holder to purchase one common share for a period of one year from the date of issuance at an exercise price of $0.08 per Warrant. The Company intends to use the proceeds from the financing to repay indebtedness and for general working capital purposes.All securities issued under the private placement, including securities issuable on exercise of the Warrants, will be subject to a hold period of four months plus a day in accordance with Canadian securities laws. It is anticipated that certain subscribers to the private placement will include existing directors and officers of the Company as well as existing unrelated shareholders. The Company does not anticipate that new shareholders will acquire greater than 50% of the outstanding voting securities of the private placement. Accordingly, the private placement may be considered a \"related party transaction\" pursuant to Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\") and the policies of the NEX trading board of the TSX Venture Exchange (the \"TSXV\"). The Company intends to rely on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in Section 5.5(c) and Section 5.7(1)(b) of MI 61-101, respectively, on the basis that the private placement is a distribution of securities for cash and the fair market value of the securities does not exceed $2,500,000.The private placement is subject to receipt of all necessary approvals, including board approval and the approval of the TSXV.For further information contact: Must Capital Inc.Michele (Mike) MarrandinoPresident and Chief Executive OfficerTelephone #: (604) 722-5225Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the ...

More updates from Must Capital, Inc.