Business
Palamina Corp. Completes First Tranche of Private Placement
Toronto, Ontario--(Newsfile Corp. - March 1, 2019) - Palamina Corp. (TSXV: PA) ("Palamina" or the "Company") is pleased to announce that it has closed the first
About this update from Palamina Corp.
[{"type":"text","content":" Toronto, Ontario--(Newsfile Corp. - March 1, 2019) - Palamina Corp. (TSXV: PA) (\"Palamina\" or the \"Company\") is pleased to announce that it has closed the first tranche of its non-brokered private placement offering (the \"Offering\") announced on January 31, 2019 and February 8, 2019. In this first tranche, the Company raised a total of $1,535,500 for the issuance of 5,118,332 units (the \"Units\") at the price of $0.30 per Unit. Up to an additional $664,500 is expected to be raised in a second tranche closing for aggregate gross proceeds of the Offering of up to $2,200,000, which is expected to take place on or before March 31, 2019. Each Unit consists of one common share (\"Common Share\") and one warrant (a \"Warrant\"). Each Warrant is exercisable to acquire one Common Share at a price of $0.50 for a period of two years after the date of issuance, provided that if after four months and one day following the closing of the Offering, the closing price of the Common Shares on the TSX Venture Exchange (\"TSX-V\") is equal to or greater than $0.90 for 10 consecutive trading days, then the Company may accelerate the expiry date of the Warrants by disseminating a press release, and in such case the Warrants will expire on the 45th day after the date on which such press release is disseminated. Net proceeds of the Offering will be used for general corporate and working capital purposes and to advance Palamina's gold projects in south eastern Peru in the Puno Orogenic Gold Belt. All securities issued pursuant to the Offering are subject to a statutory hold period ending June 29, 2019. The Offering is subject to TSX-V acceptance of regulatory filings. The purchase of Units pursuant to the Offering by Andrew Thomson, the President, Chief Executive Officer, and a director of the Company, and Hugh Agro, Alistair Waddell, and Darin Wagner, each a director of the Company, (collectively, the \"Related Parties\") constituted a \"related party transaction\" as such term is defined by Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"). The Company was exempt from the MI 61-101 valuation and minority approval requirements for related party transactions in connection with the Offering because the Company was not listed on a stock exchange specified in section 5.5(b) o...