News Release
Platinex Inc. Completes Private Placement
TORONTO, Nov. 30, 2017 — Platinex Inc. (CSE:PTX) (the “Company”) has completed the second and final closing of its previously announced non-brokered private placement (the “Private Placement”), issuing an additional 3,450,000 units (“Units”) on November 30, 2017 for aggregate gross proceeds of $172,500. A total of 8,655,000 Units were issued on November 15, 2017 for aggregate gross proceeds of $427,500 (the “Initial Closing”), resulting in a total of 12,000,000 Units issued and aggregate gross proceeds of $600,000 under the Private Placement.
Each Unit consists of one common share (“Common Share”) of the Company and one warrant (“Warrant”) of the Company, bearing the terms described in the initial press release announcing the Private Placement dated November 9, 2017 (“Initial Press Release”).
The Company has updated the use of proceeds of the Private Placement from the Initial Press Release to address the option and acquisition agreements previously announced in the Company’s November 16, 2017 press release.
All securities issued in connection with this Private Placement will be subject to a four month hold period from the date of issuance in accordance with applicable securities laws. The closing of the Private Placement is subject to receipt of approvals of the TSX-V and other applicable securities regulatory authorities.
Insiders of the Company subscribed for 5,325,000 Units in connection with the Private Placement and such subscriptions are considered related party transactions within the meaning of Multilateral Instrument 61-101 (“MI 61-101”). The Company is relying on an exemption from the valuation and minority shareholder approval requirements of MI 61-101 contained in Sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of any insider participation in the Private Placement; at the time the transaction was agreed to, neither the fair market value of the subject matter of, nor the fair market value consideration for the transaction, as it related to insiders, exceeded 25% of the Company’s market capitalization.
In connection with the Initial Closing, the Company paid $5,200 of finder’s fees and issued 104,000 Broker Warrants which are exercisable into shares within 12 months of the Initial Closing.
Insiders of the Company subscribed for 5,125,000 Units in connection with the Interim Closing and such subscriptions are considered related party transaction within the meaning of Multilateral Instrument 61-101 (“MI 61-101”). The Company is relying on an exemption from the valuation and minority shareholder approval requirements of MI 61-101 contained in Sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of any Insider Participation; at the time the transaction was agreed to, neither the fair market value of the subject matter of, nor the fair market value consideration for the transaction, as it related to insiders, exceeded 25% of the Company’s market capitalization.
Lori Paradis, Corporate Secretary
Tel: (416) 268-2682
Email: lparadis@platinex.com
Web: www.platinex.com
About Platinex Inc.
Platinex is currently focusing efforts on developing various strategies to capitalize on the lucrative growth of the cannabis sector in North America. At the same time Platinex has been focusing its mining business efforts in assembling a very large property in the Shining Tree gold camp, which has received little modern exploration compared to other gold camps in the Abitibi greenstone Belt. Shares of Platinex are listed for trading on the Canadian Securities Exchange under the symbol “PTX”.
