Business
Quimbaya Gold Announces Private Placement, Shares for Debt Transactions
VANCOUVER, BC, Dec. 4, 2024 /CNW/ - Quimbaya Gold Inc. (CSE: QIM) ("Quimbaya" or the "Company") is pleased to announce that it intends to complete a non-brokere
About this update from Quimbaya Gold Inc
[{"type":"text","content":" VANCOUVER, BC, Dec. 4, 2024 /CNW/ - Quimbaya Gold Inc. (CSE: QIM) (\"Quimbaya\" or the \"Company\") is pleased to announce that it intends to complete a non-brokered private placement (the \"Placement\") of 653,332 units of the Company (each, a \"Unit\") at a price of $0.30 per Unit for aggregate gross proceeds of $196,000. Each Unit will be composed of one common share (a \"Common Share\") of the Company and one Common Share purchase warrant (a \"Warrant\"), each such Warrant entitling the holder to acquire one additional Common Share for a period of two years from the date of issuance at an exercise price of $0.40 per Common Share. The net proceeds of the Offering will be used by the Company for exploration and working capital. Quimbaya also announces that it has entered into debt settlement agreements with certain creditors of the Company (the \"Creditors\") pursuant to which the Company agreed to issue to the Creditors, and the Creditors agreed to accept, an aggregate of 711,602 Units in full and final settlement of accrued and outstanding indebtedness in the aggregate amount of $213,481.53 (the \"Debt Settlement\"). Closing of the Placement and Debt Settlement is expected to occur on or about December 11th, 2024. All securities issued pursuant to the Placement and Debt Settlement will be subject to a statutory hold period of four months plus one day from the date of issuance, in accordance with applicable policies of the Canadian Securities Exchange. Certain insiders of the Company will be participating in the Placement. Such participation is considered a related party transaction within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"). The related party transaction will be exempt from minority approval and valuation requirements pursuant to the exemptions contained in Section 5.5(a) and 5.7(1)(a) of MI 61-101, as neither the fair market value of the securities to be issued under the Placement nor the consideration to be paid by insiders will exceed 25% of the Company's market capitalization. The Company also announces that, pursuant to the Company's long-term incentive plan, it has granted a total of 1,000,000 stock options (the \"Options\") to certain consultants of the Company. The Options are each exercisable to purchase one Co...