pcNewsWire – MGX Minerals Inc. (CSE: XMG; FSE: 1MG; OTCPK: MGXMF) intends to close a non-brokered private placement of up to 2,500,000 flow-through units at $1.00 per FT unit for gross proceeds of up to $2,500,000
The company will use the proceeds to continue its exploration activities on its projects in British Columbia.
MGX Minerals Announces CA$2.5 Million Non-Brokered Private Placement of Flow-Through Units
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.
VANCOUVER, BRITISH COLUMBIA / June 6, 2017 / MGX Minerals Inc. (“MGX” or the “Company”) (CSE: XMG / FKT: 1MG / OTC: MGXMF) is pleased to announce the offering, by way of non-brokered private placement (the “Offering”), of up to 2,500,000 flow-through units (the “Flow-Through Units”) at a price of $1.00 per Flow-Through Unit for gross proceeds of up to $2,500,000.
Each Flow-Through Unit will consist of one common share of the Company (each, a “Flow-Through Share”), issued on a “flow-through” basis pursuant to the Income Tax Act (Canada) and one-half of one transferable common share purchase warrant (each whole warrant, a “Warrant”), with each Warrant entitling the holder to acquire one common share of the Company (each, a “Warrant Share”) at a price of $1.15 per Warrant Share for a period of 24 months from the closing of the Offering.
The closing of the Offering is expected to occur on or before June 9, 2017 and is subject to the completion of formal documentation and filings with the Canadian Securities Exchange. The securities issued pursuant to the Offering will be subject to a hold period of four months and one day.
The Company will use the proceeds of the Offering to continue its exploration activities on its projects in British Columbia.
In connection with the Offering, the Company will provide a finder’s fee to EMD Financial Inc. (“EMD”) equal to a cash payment of 8% of the gross proceeds raised from purchasers of the Flow Through Units introduced to the Company EMD, common shares of the Company equal to 4% of the total number of Flow-Through Units sold, and non-transferable warrants equal to 4% of the total number of Flow Through Units sold under the Offering (the “Finder Warrants”). Each Finder Warrant will entitle the holder to purchase one common share at a price of $1.55 for a period of 24 months following the closing date.
About MGX Minerals
MGX Minerals is a diversified Canadian resource company with interests in petrolithium, magnesium and silicon assets throughout North America. Learn more at www.mgxminerals.com.
Jared Lazerson President and CEO Telephone: 1.604.681.7735 Web: www.mgxminerals.com
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: MGX Minerals Inc.