Business
Signature Announces Closing of the First Tranche of Private Placement and Exercise of Option Over East Lingman Lake Property
TORONTO, ONTARIO--(Marketwired - July 5, 2016) - Signature Resources Ltd. (TSX VENTURE:SGU)(OTC PINK:SGGTF) ("Signature" or the "Company") is pleased to announc
About this update from Signature Resources Ltd.
[{"type":"text","content":"TORONTO, ONTARIO--(Marketwired - July 5, 2016) - Signature Resources Ltd. (TSX VENTURE:SGU)(OTC PINK:SGGTF) (\"Signature\" or the \"Company\") is pleased to announce that effective July 5, 2016 it has closed the first tranche of its previously announced non-brokered private placement, pursuant to which it has raised aggregate gross proceeds of $466,794 (the \"Financing\"), and the exercise of the option over the East Lingman Lake property (the \"Acquisition\"), a contiguous group of 12-claims surrounding the Company's historic high grade Lingman Lake property. Pursuant to the Financing, the Company issued an aggregate of 9,335,880 units (\"Units\") at a price of $0.05 per Unit. Each Unit consisted of one (1) common share (\"Common Share\") and one (1) common share purchase warrant (\"Warrant\"). Each Warrant is exercisable to acquire one (1) Common Share at a price of $0.15 for a period of 24 months following closing of the Financing, provided that if after four (4) months and one (1) day following the closing of the Financing, the closing price of the Company's Common Shares on the TSX Venture Exchange (the \"TSXV\") is equal to or greater than $0.25 for 10 consecutive trading days, then the Company may accelerate the expiry date of the Warrants by disseminating a press release and in such case the Warrants will expire on the 90th day after the date on which such press release is disseminated by the Company (the \"Acceleration Clause\"). In connection with the Financing, the Company paid a cash finder's fee of $24,544 and issued 490,870 finder's warrants (the \"Finder's Warrants\") to Mr. Sonesh Sira. Each Finder's Warrant is exercisable to acquire one (1) Common Share at a price of $0.05 for a period of 24 months following closing of the Financing, subject to the Acceleration Clause. Use of proceeds from the Financing will be used for general corporate and working capital purposes, and for the continued exploration of the Company's Lingman Lake property. All of the securities issued in connection with the Financing are subject to a four month hold period. Directors and officers of the Company acquired 500,000 Units pursuant to the terms of the Financing, for aggregate gross proceeds to the Company of $25,000. The first tranche of the Financing forms part of a larger offering to raise gross proceeds of up to $1,000,000. The Com...