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Kroes Energy announces $2 million financing
Kroes Energy announces $2 million financing.
About this update from Verisante Technology, Inc.
[{"type":"text","content":"\n\n\n\n\nCALGARY, May 1 /CNW/ - Kroes Energy Inc. (\"Kroes\" or the \"Corporation\")\n(TSX Venture: KRS) announced today that it has entered into an agency\nagreement with Octagon Capital Corporation (\"Octagon\") in connection with a\nfinancing to be completed by way of Short Form Offering Document in accordance\nwith TSX Venture Exchange policies (the \"Offering\").\nThe Offering will consist of a minimum of $500,000 and a maximum of\n$2,000,000 in units of Kroes (\"Units\") at a price of $0.80 per Unit. Each Unit\nconsists of one (1) common share (\"Common Share\") of the Corporation, one (1)\nflow-through common share (\"Flow-Through Share\") of the Corporation, and one\nhalf of one (1/2) non-transferable Common Share purchase warrant of the\nCorporation (\"Warrant\"). Each whole Warrant entitles the holder thereof to\npurchase one additional Common Share of the Corporation at a price of $0.50\nfor a period of 18 months from the initial closing of the Offering. The\nallocation of the price of the securities comprising each Unit is $0.36 for\neach Common Share, $0.44 for each Flow-Through Share and nil for each 1/2\nWarrant.\nThe Warrants are subject to an acceleration clause whereby at any point\nafter 90 days from the closing of this Offering, if the Corporation's Common\nShare price exceeds $0.75 for a period of 10 consecutive trading days, the\nCorporation may elect to issue a news release causing the Warrants to be\nexercised within 30 days of the date of the press release, provided that the\nCommon Share price remains at $0.75 or more through the notice period, and\nfailing exercise within the 30 day notice period the Warrants will\nautomatically expire. At the closing of the Offering (the \"Closing\"), the\nsecurities comprising the Units will automatically separate.\nThe proceeds of this financing will be used to fund the Corporation's\nshare of exploration and development expenses pursuant to a joint venture\nagreement the Corporation has entered into with a private Alberta company.\nOctagon will receive a cash commission equal to 9% of the gross proceeds\nreceived by the Issuer from sales pursuant to the Offering. The Agent will\nalso receive non-transferable compensation options to purchase 34,722 Agent's\nUnits during the period expiring 18 months from the Closing, plus options to\npurchase that number of Agent's...