Vancouver - AsiaBaseMetals Inc. (the 'Company') (TSX-V: 'ABZ') is pleased to announce that it has closed its non-brokered private placement for gross proceeds of $350,100 through the sale of 1,945,000 units ('Units') at a price of $0.18 per Unit (the 'Private Placement').
Each Unit is comprised of one common share of the Company (a 'Share') and one transferable common share purchase warrant (each, a 'Warrant'). Each Warrant entitles the holder to purchase an additional Share at a price of $0.25 per Share for a period of two years.
The proceeds from the sale of the Units are intended to be used for general working capital. No finders fees were issued under the Private Placement.
The Private Placement is subject to acceptance by the TSX Venture Exchange. All securities issued pursuant to the Private Placement will be subject to a four month hold period from the date of issue.
Contact:
Raj Chowdhry
Email: info@asiabasemetals.com
Early Warning Disclosure
Mr. Chowdhry acquired ownership of 1,390,500 Units under the Private Placement. Prior to the Private Placement, Mr. Chowdhry held 19,444,749 Shares, which represented approximately 48.50% of the issued and outstanding Shares. After giving effect to the Private Placement, Mr. Chowdhry beneficially owns and controls a total of 20,835,249 Shares, 2,607,404 Warrants and 1,050,000 Options. These securities represent 49.50% of the Company's issued and outstanding Shares on a non-diluted basis or 53.54% of the Company's issued and outstanding Shares on a partially diluted basis assuming exercise of Mr. Chowdhry's Warrants and Options only. Mr. Chowdhry acquired the Units for investment purposes. Mr. Chowdhry intends to evaluate his investment in the Company and to increase or decrease his shareholdings from time to time as he may determine appropriate. A copy of the early warning report being filed by Mr. Chowdhry may be obtained by contacting Mr. Chowdhry at (604) 765 - 2030.
Cautionary Note Regarding Forward-Looking Statements
Certain disclosure in this release, including statements regarding the Company's intention to carry out the Private Placement and the use of proceeds from the Private Placement constitute 'forward-looking information' within the meaning of Canadian securities legislation. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will be able to use the proceeds of the Private Placement as anticipated. However, the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such uncertainties and risks include, among others, inability to use the proceeds from the Private Placement as anticipated. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.
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