Business
Search Minerals Closes Over-Subscribed Private Placement
VANCOUVER, British Columbia, July 11, 2018 (GLOBE NEWSWIRE) -- Search Minerals Inc. (“Search” or the “Company”) (TSXV:SMY), is pleased to announce that today th
About this update from Search Minerals Inc.
[{"type":"text","content":" VANCOUVER, British Columbia, July 11, 2018 (GLOBE NEWSWIRE) -- Search Minerals Inc. (“Search” or the “Company”) (TSXV:SMY), is pleased to announce that today the Company closed its previously announced private placement of Flow-Through and Non-Flow Units. The Company raised an aggregate of $424,376.80, of which $180,000.00 was raised on the issuance of Flow-Through Units and $244,376.80 was raised on the issuance of Non-Flow Units. The offering size of the Non-Flow Units was increased to accommodate strong demand. Each Flow-Through Unit was issued at a price per unit of $0.06 and is comprised of one Flow-Through Common Share and one Common Share Purchase Warrant exercisable for a period of 24 months at an exercise price of $0.07. Each Non-Flow Unit was issued at a price per unit of $0.05 and is comprised of one Common Share and one Common Share Purchase Warrant exercisable for a period of 24 months at an exercise price of $0.07. The Warrants will expire on July 12, 2020. All Shares issued pursuant to the Offering are subject to a statutory hold period of four months plus one day from the date of issuance, in accordance with applicable securities legislation. After giving effect to the private placement, Search has 179,589,678 Common Shares issued and outstanding. These private placements funds are used concurrently with the recently completed Rights Offering, whereby $624,372 was raised. The Company will use the proceeds of the Flow-Through units to incur Canadian exploration expenses as defined in the Income Tax Act on the company's properties and to complete the planned 1,500 metre drill program at the Deep Fox prospect. The Non-Flow Through proceeds will be used for exploration work in the district, environmental studies and work, and general working capital. Insiders of the Company have subscribed to acquire an aggregate of 950,000 Flow-Through Units and 4,000,000 Non-Flow Units representing total subscription proceeds of approximately $257,000. The issuance of Shares to insiders pursuant to the Offering (the “Insider Participation”) will be considered to be a related party transaction within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 (“MI 61-101”). The Company intends to rely on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contain...