Business
Orestone Completes $1.15 Million Private Placement
Vancouver, British Columbia--(Newsfile Corp. - April 29, 2019) - Orestone Mining Corp. (TSXV:...
About this update from Orestone Mining Corp.
[{"type":"text","content":"Orestone Completes $1.15 Million Private PlacementVancouver, British Columbia--(Newsfile Corp. - April 29, 2019) - Orestone Mining Corp. (TSXV: ORS) (\"Orestone\" or the \"Company\") is pleased to announce the completion of its oversubscribed non-brokered private placement announced for $1.1 million on March 27, 2019. The Company issued a total of 10,450,091 units (\"Unit\") at a price of $0.11 per Unit for gross proceeds of $1,149,510. Each Unit consisted of one common share and one common share purchase warrant of Orestone, with each warrant being exercisable for one common share of Orestone at a price of $0.15 for a term of 2 years. The net proceeds of the Private Placement will be used to advance exploration on the Company's Resguardo project in Chile and the Captain Project in British Columbia and for general working capital.The shares and warrants issued under the private placement and the shares issuable upon exercise of the warrants are subject to a hold period that expires on August 27, 2019.Certain directors, officers and other insiders of the Company purchased or acquired direction and control over a total of 918,182 Units under the private placement. The placement to those persons constitutes a \"related party transaction\" within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 -Protection of Minority Security Holders in Special Transactions (\"MI 61-101\") adopted in the Policy. The Company has relied on exemptions from the formal 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 in respect of related party participation in the placement as neither the fair market value (as determined under MI 61-101) of the subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involved the related parties, exceeded 25% of the Company's market capitalization (as determined under MI 61-101). Further details will be included in a material change report to be filed by the Company. The material change report will not be filed more than 21 days prior to closing of the placement due to the timing of the announcement of the amended private placement and closing occurring in less than 21 days.Finders' fees amounting to $25,845.60 were paid in connection with the private placement. NO U...