- GFG Resources (GFG) has announced a private placement of up to C$3 million
- The company will use the proceeds for continued exploration on its Ontario projects as well as for working capital purposes
- The offering is scheduled to close on or about November 30, 2021
- GFG is a precious metals exploration company focused on district-scale gold projects in Ontario and Wyoming
- GFG Resources (GFG) is down by 6.45 per cent and is currently trading at $0.145 per share
GFG Resources (GFG) has announced a private placement of up to C$3 million.
The offering consists of any combination of:
- Company units priced at $0.145 per unit
- Common shares that will qualify as flow-through shares according to the Income Tax Act (Canada) priced at $0.17 per flow-through share
- Premium units priced at $0.207 per unit
Each unit consists of one common share and one-half of one share purchase warrant.
Each premium unit consists of one flow-through share and one-half of one warrant.
Each warrant entitles the holder to acquire one additional common share for $0.22 for a period of 24 months from the date of issuance.
The warrants are subject to acceleration with 30 days’ notice.
Pursuant to the placement, at least $1 million must be raised through the issuance of units.
The company will use gross proceeds from flow-through shares and premium shares for exploration activities in Ontario that will qualify as Canadian exploration expenses within the meaning of the Income Tax Act (Canada).
The company will use net proceeds from units and warrants – comprised in part of premium units – for exploration activities on its Ontario projects as well as for general working capital purposes.
It is anticipated that certain company insiders will acquire units under the offering.
The offering is scheduled to close on or about November 30, 2021.
GFG is a precious metals exploration company focused on district-scale gold projects in Ontario and Wyoming.
GFG Resources (GFG) is down by 6.45 per cent and is currently trading at $0.145 per share as of 12:48 pm ET.
