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Georox Resources Inc. closes private placement of 2,500,000 units
Georox Resources Inc. closes private placement of 2,500,000 units
About this update from Prospera Energy Inc.
[{"type":"text","content":"\n\n\n\n May 28, 2010 (Canada NewsWire Group) -- Georox Resources Inc. ("Georox" or the "Corporation") (GXR:TSX-V; OF6A:FRA) is pleased to announce that on May 28, 2010 it closed its previously announced non-brokered private placement (the "Private Placement") of 2,500,000 Units in the capital of the Corporation at $0.18 per Unit for aggregate gross proceeds of $450,000.\nEach Unit is comprised of one common share of the Corporation and one-half of one common share purchase warrant. Each whole common share purchase warrant entitles the holder thereof to purchase one additional common share of the Corporation at a price of $0.25 per common share at any time prior to 4:30 p.m. (Calgary time) on May 28, 2012. All securities issued under the Private Placement are subject to a hold period of four months following the date of closing, in accordance with applicable securities laws. Participation in the Private Placement by directors and officers are: Calypso Capital Corp (Burkhard Franz) 1,500,000 units, Tradewinds Capital Corp (Savi Franz) 500,000 units and hidden placees is two. Pro Group -Murray McInnes. An agent's commission of $5,400 will be paid to Hayward Securities.\nAs a result to the participation by officers in the financing, Multilateral Instrument 61-101 requires Georox to obtain minority approval and a formal valuation for the financing unless an exemption from the minority approval and valuation requirements is available. Such an exemption is available to Georox as at the time the transaction was agreed to neither the fair market value of the subject matter of, nor the fair market value consideration for the transaction, insofar as it involves interested parties, exceeds 25% of Georox's market capitalization.\nThe proceeds of the Private Placement will be utilized for working capital purposes.\nAfter giving effect to this Private Placement, the Corporation will have 15,881,185 outstanding common shares. An additional 1.25 million common shares will be reserved for issuance on exercise of the common share purchase warrants issued pursuant to the Private Placement.\nThe TSX Venture Exchange has accepted the documents filed by the Corporation.\n\nAbout Georox\nThe Company trades its common shares on the TSX Venture Exchange under the symbol GXR and its common shares on the Frankfurt Stock Excha...