Purepoint Uranium Group Inc. Closes Non-Brokered Private Placement

About this update from Purepoint Uranium Group Inc.

[{"type":"text","content":"Purepoint Uranium Group Inc. Closes Non-Brokered Private PlacementTORONTO, ON / ACCESSWIRE / December 31, 2015 / Purepoint Uranium Group Inc. (TSXV: PTU) (the \"Company\") closed the non-brokered private placement announced on December 16, 2015 for gross proceeds of $204,030. The Company issued 6,801,000 flow-through units at a price of $0.03 per unit. Each flow-through unit consists of one common share in the capital of the Company issued on a \"flow through\" basis pursuant to the Income Tax Act (Canada) and one common share purchase warrant. Each warrant entitles its holder to purchase one common share in the capital of the Company at an exercise price of $0.05 per share for a period of 24 months from the date of issuance. The closing is subject to final acceptance by the TSX Venture Exchange of the private placement.\nIn connection with the closing of the private placement, the Company paid Accilent Capital Management Inc., Maison Placements Canada Inc., and David O'Brien finders' fees consisting of $13,861.80 (plus applicable taxes) in cash and 366,060 non-transferable compensation options. Each compensation option entitles its holder to purchase one common share in the capital of the Company at an exercise price of $0.05 per share for a period of 24 months after the closing date.\nAccilent Capital Management Inc., a principal shareholder of the Company, participated in the private placement as a finder and an investor who subscribed through its affiliate Pavilion Flow-Through L.P. 3,001,000 flow-though units for $90,030, increasing its direct and indirect shareholding to 10.95% of the total issued and outstanding voting securities of the Company. By virtue of such participation by the insider, the private placement constitutes a related party transaction under applicable securities laws. Neither independent valuation nor minority shareholder approval was required to complete the related party transaction because the Company relied on exemptions from both requirements under applicable securities laws.\nThe net proceeds of the private placement will be used to meet the Company's payment obligation under its Hook Lake joint venture with Cameco Corporation and AREVA Resources Canada Inc.\nAll securities issued in connection withthe private placement are subject to a four-month hold period pursuant to the applicable securities ...

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