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Silver Storm Mining Announces Upsize of Private Placement Offering for Up to $6.1 Million Including Investment by Eric Sprott
TORONTO / Apr 09, 2024 / Business Wire / Silver Storm Mining Ltd. (“Silver Storm” or the "Company") (TSX.V: SVRS | FSE: SVR), is pleased to announce that it is
About this update from Silver Storm Mining Ltd.
[{"type":"text","content":"TORONTO / Apr 09, 2024 / Business Wire / Silver Storm Mining Ltd. (“Silver Storm” or the \"Company\") (TSX.V: SVRS | FSE: SVR), is pleased to announce that it is further increasing the size of its previously announced non-brokered private placement offering (the “Offering”) of units of the Company (each, a “Unit”) for gross proceeds of up to $6,100,000.06 at a price of $0.11 per Unit. The Offering is expected to include a $3.0 million investment from current significant shareholder Eric Sprott. See previous news releases dated March 13, 2024, April 2, 2024 and April 5, 2024 for further details of the Offering. The First Tranche of the Offering closed on April 2, 2024 for aggregate gross proceeds of $1.47 million. Each Unit will consist of one common share of the Company (a \"Common Share\") and one half of one common share purchase warrant (each whole warrant, a \"Warrant\"). Each Warrant shall be exercisable to acquire one (1) additional Common Share at an exercise price of C$0.16 for a period of 24 months from the date of issuance (the “Expiry Date”). In connection with the Offering, the Company may pay certain eligible arm’s length parties who introduce subscribers to the Offering (each, a “Finder”): up to 7% cash fees, and (2) up to 7% finders’ warrants (“Finders’ Warrants”). Each Finder’s Warrant entitles the holder to purchase one Common Share at a price of $0.11 for a period of 24 months. Eric Sprott through 2176423 Ontario Ltd., a corporation which is beneficially owned by him, has committed to subscribe for 27,272,727 Units in the Offering for an aggregate purchase price of $2,999,999.97. The participation by Mr. Sprott will be 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 Private Placement will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of the securities issued to related parties nor the consideration for such securities will exceed 25% of the Company’s market capitalization. The Offering is scheduled to close on or about April 10, 2024, and is subject to all regulatory approvals, including the approvals of the TSX Venture Exchange. The Units are being offered by way of private placement pursuant to exempt...