Business
Red Canyon Resources Closes First Tranche of Private Placement
Vancouver, British Columbia, April 7, 2025 - TheNewswire - Red Canyon Resources Ltd. (“Red Canyon” or the “Company”) (CSE: REDC | OTCQB: REDRF) is pleased to an
About this update from Red Canyon Resources Ltd.
[{"type":"text","content":"Vancouver, British Columbia, April 7, 2025 - TheNewswire - Red Canyon Resources Ltd. (“Red Canyon” or the “Company”) (CSE: REDC | OTCQB: REDRF) is pleased to announce it has closed the first tranche of a non-brokered private placement, issuing 9,377,750 units of the Company (the “Units”) at a price of $0.16 per Unit for gross proceeds of $1,500,440 (the “Offering”). Each Unit consists of one common share and one-half of a share purchase warrant, with each whole warrant exercisable into one further common share at a price of $0.24 for a term of 24 months. The proceeds from the Offering will be used for exploration activities at the Company’s western United States and British Columbia projects and for general working capital. Insiders of the Company purchased a total of 612,500 Units. The participation by Insiders in the Offering constitutes a “related party transaction” for the purposes of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The Company is relying upon exemptions from the requirement to obtain a formal valuation and seek minority shareholder approval for the Offering on the basis that the fair market value of the participation by related parties in the Offering is less than 25% of the Company’s current market capitalization. Cash finder’s fees of $17,808 and 111,300 finder’s warrants exercisable at $0.24 per common share for a 24-month term were paid on a portion of the Offering. All securities issued are restricted from trading until August 8, 2025. Further to the Company’s news release dated February 24, 2025, the Company anticipates closing a second tranche of the Offering shortly. The offered securities have not been, nor will they be, registered under the United States Securities Act of 1933, as amended (the \"Securities Act\") or any state securities laws and may not be offered or sold to, or for the account or benefit of, any person in the United States or any \"U.S person\", as such term is defined in Regulation S under the Securities Act, absent registration or an applicable exemption from registration requirements. Offers and sales in the United States will be limited to institutional accredited investors and qualified institutional buyers. This press release shall not constitute an offer to sell or the solicitation of an of...