Business
Royal Road Minerals Announces Brokered Private Placement Financing
TORONTO, ON / ACCESSWIRE / January 19, 2017 / Royal Road Minerals Limited (TSX-V: RYR) ("Roy...
About this update from Royal Road Minerals Limited
[{"type":"text","content":"Royal Road Minerals Announces Brokered Private Placement FinancingTORONTO, ON / ACCESSWIRE / January 19, 2017 / Royal Road Minerals Limited (TSX-V: RYR) (\"Royal Road Minerals\" or the \"Company\"), a gold focused mineral exploration and development company, is pleased to announce that it has appointed Pollitt & Co. to lead a syndicate of agents, including Echelon Wealth Partners Inc. and M Partners Inc. (the \"Agents\") to conduct a private placement offering (the \"Offering\"), on a best efforts agency basis, of up to 30,000,000 units (each a \"Unit\") of the Company at a purchase price of C$0.10 per Unit for aggregate gross proceeds of up to C$3.0 million. Each Unit will be comprised of one ordinary share of the Company and one-half of one ordinary share purchase warrant (each whole warrant, a \"Warrant\"). Each Warrant will entitle the holder thereof to acquire one ordinary share of the Company at a price C$0.20 for a period of 24 months from the date of issuance. \nThe net proceeds of the Offering is intended to be used by the Company to help finance its planned operations in Colombia and its anticipated operations in Nicaragua following any successful completion of its previously announced intended acquisition of Caza Gold Corp. \nThe closing date for the private placement is scheduled to occur on or about February 17, 2017. Closing of the Offering is subject to the approval of the TSX Venture Exchange. All the securities issued under the Offering are subject to resale restrictions under applicable securities laws. In consideration of the Agents' services, the Company has agreed to pay the Agents a cash commission of 6.0% of the gross proceeds of the Private Placement. The Agents will also receive broker warrants (the \"Broker Warrants\") equal to 6.0% of the securities sold pursuant to the Private Placement. Each Broker Warrant entitles the holder to acquire one common share of the Company at a price of $0.20 until the date that is 24 months from the closing of the Private Placement.\nThe securities to be issued under the Offering have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the \"U.S. Securities Act\"), or any state securities laws, and accordingly, may not be offered or sold within the United States except in compliance with the registration requirements of t...