Business
VR Resources Closes Non-Brokered Private Placement for Gross Proceeds of $2.2 Million
VANCOUVER, British Columbia, June 10, 2020 (GLOBE NEWSWIRE) -- VR Resources Ltd. (TSX.V: VRR; FSE: 5VR; OTCBB: VRRCF) (the “Company” or “VR”) is pleased to anno
About this update from Vr Resources Ltd.
[{"type":"text","content":" VANCOUVER, British Columbia, June 10, 2020 (GLOBE NEWSWIRE) -- VR Resources Ltd. (TSX.V: VRR; FSE: 5VR; OTCBB: VRRCF) (the “Company” or “VR”) is pleased to announce that it has closed its previously announced non-brokered private placement (“Financing”) consisting of 9,014,654 units (“Units”) at a price of $0.22 per Unit and 1,291,667 flow-through common shares at a price of $0.24 per common share for aggregate proceeds of $2,293,223. Each Unit consists of one common share of the Company and one-half of a common share purchase warrant. Each whole warrant will entitle the holder to acquire one additional common share at an exercise price of $0.35 per common share for a period of 18 months from the closing date of the Financing. In connection with the Financing, the Company paid cash fees of $41,082.40 and issued 177,193 warrants exercisable at $0.35 per warrant share for a period of 18 months from closing to certain finders. Certain insiders of the Company, participated in the Financing. The issuance of Units to insiders of the Company pursuant to the Financing will be considered related party transactions within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transaction (“MI 61-101”). The Company intends to rely on exemptions from the formal valuation and minority approval requirements of sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of such insider participation, based on a determination that fair market value of the participation in the Financing by insiders will not exceed 25% of the market capitalization of the Company, as determined in accordance with MI 61-101. The securities that were issued under the Financing are subject to a four month hold period under Canadian securities law. VR will use the net proceeds of the Financing for mineral exploration on its properties in Ontario and Nevada, and for general administrative and corporate purposes. From VR’s CEO, Dr. Michael Gunning, “The funds successfully Closed in this private placement will give us added strength going into the drill programs planned for the second half of this year on our Amsel gold target in Nevada and Ranoke copper-gold target in Ontario, and they will also strengthen our ability to execute on new opportunities and new properties, whi...