Business
Northstar Gold Closes Non-Brokered Flow-Through Private Placement
Vancouver, British Columbia--(Newsfile Corp. - March 31, 2020) - Northstar Gold Corp. (CSE: NSG) ("Northstar" or the "Company"), announces that the Company has
About this update from Northstar Gold Corp. Class A
[{"type":"text","content":" Vancouver, British Columbia--(Newsfile Corp. - March 31, 2020) - Northstar Gold Corp. (CSE: NSG) (\"Northstar\" or the \"Company\"), announces that the Company has closed its previously announced non-brokered private placement of units (\"Units\") for gross proceeds of $989,509 (the \"Offering\"). The Offering consisted of the issuance of an aggregate of 3,412,101 Units at a price of $0.29 per Unit. Each Unit consists of one common share designated as a flow-through share (\"Common Share\") under the Income Tax Act (Canada) and one-half common share purchase warrant (\"Warrant\"), with each full Warrant entitling the holder to acquire one Common Share at a price of $0.43 per Common Share, for a period of 24 months from the closing of the Offering. The Company engaged Canaccord Genuity Corp. and Haywood Securities Inc. to act as its financial advisors (\"Financial Advisors\") under the Offering. In connection with the Offering, the Company paid aggregate cash commissions of approximately $77,056.72 and issued 265,713 finder warrants (\"Finder Warrants\"). Each Finder Warrant is exercisable for a period of 24 months from the closing of the Offering to acquire one Common Share at a price of $0.43 per Common Share. In addition, the Company agreed to pay the Financial Advisors a work fee of $25,000 (Cdn.) payable via the issuance of 86,207 Common Shares at an issue price of $0.29 per Common Share. The gross proceeds from the sale of the Common Shares will be used to incur eligible Canadian Exploration Expenses (\"CEE\") at the Company's 100%-owned Miller Gold Property, situated 18 km southeast of Kirkland Lake, Ontario. The Company will renounce CEE effective on or before December 31, 2020. The participation of two directors in the Offering constitutes a \"related party transaction\" within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\") and the policies of the CSE. The Company is relying upon the exemptions from the formal valuation and minority shareholder approval requirements pursuant to sections 5.5(b) and 5.7(1)(a), respectively, of MI 61-101 on the basis that, at the time the Offering was agreed to, neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the transaction insofar as it involv...