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Osisko Metals Announces Closing of Fully-Subscribed $3 Million Non-Brokered Private Placement of Units
MONTREAL, Aug. 10, 2020 (GLOBE NEWSWIRE) -- Osisko Metals Incorporated (the "Corporation" or "Osisko Metals") (TSXV: OM; OTCQX: OMZNF; FRANKFURT: 0B51) is pleas
About this update from Osisko Metals Incorporated
[{"type":"text","content":" MONTREAL, Aug. 10, 2020 (GLOBE NEWSWIRE) -- Osisko Metals Incorporated (the \"Corporation\" or \"Osisko Metals\") (TSXV: OM; OTCQX: OMZNF; FRANKFURT: 0B51) is pleased to announce that it has closed its previously-announced non-brokered private placement, pursuant to which the Corporation sold an aggregate of 7.5 million units of the Company (each, a \"Unit\") at a price of $0.40 per Unit for aggregate gross proceeds of $3 million (the \"Offering\"). Each Unit consists of one common share of the Company (each, a \"Common Share\") and one-half-of-one common share purchase warrant of the Company (each whole warrant, a \"Warrant\"). Each Warrant entitles the holder thereof to acquire one Common Share at a price of $0.52 per share for a 24-month period following the closing date of the Offering. The net proceeds from the Offering will be used for the development of Osisko Metals' Pine Point Project, specifically for continued historical core relogging program and drilling, environmental baseline field work, as well as general corporate purposes. The Corporation paid an aggregate of $51,000 to certain arm's length finders on a portion of the Offering. The following \"insiders\" of the Company have subscribed for Units under the Offering: Insider Category Number of Units Subscription Amount Osisko Gold Royalties Ltd 10% Security Holder 1,250,000 $500,000 Robert Wares 10% Security Holder; CEO and Chairman 1,250,000 $500,000 Jeff Hussey Director and Senior Officer 187,500 $75,000 Totals 2,687,500 $1,075,000 Osisko Mining Inc. also subscribed for 1,250,000 Units as part of the Offering, representing a subscription amount of $500,000. Robert Wares, Chairman & CEO of Osisko Metals, commented: “With the closing of this financing we can proceed with environmental baseline field work and drilling at Pine Point. COVID-19 restrictions in the NWT only allow one drill to operate at this time, but more will be added to the resource definition and expansion program as soon as safety regulations permit”. Each subscription by an \"insider\" is considered to be a \"related party transaction\" for purposes of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (\"MI 61-101\") and Policy 5.9 – Protection of Minority Security Holders in Special Transactions of the TSX Venture Exchange. Pursuant to MI...