- New Energy Metals Corp. (ENRG) has closed the first tranche of a non-brokered private placement for gross proceeds of $675,000
- Under the first tranche, the company issued 2,700,000 units at $0.25 per unit
- The net proceeds will be used to fund exploration expenses and potential acquisitions, as well as for working capital and corporate purposes
- New Energy Metals is a Canadian-based resource company
- New Energy Metals Corp. opened trading at $0.31
New Energy Metals Corp. (ENRG) has closed the first tranche of a previously announced non-brokered private placement of units for gross proceeds of $675,000.
Under the first tranche, the company issued 2,700,000 units at $0.25 per unit.
Each unit consists of one common share in the capital of the company and one-half of one common share purchase warrant.
Each warrant entitles the holder to acquire one share at a price of $0.50 per share for a period of twenty-four months.
If the shares trade at a price of $1.00 or more for ten consecutive trading days, the company may, at its option, accelerate the expiry date of the warrants by providing notice to the warrant holders by way of a news release that the warrants will expire on the 30th day from the date of the acceleration notice.
The company intends to use the net proceeds from the offering to fund exploration expenses and potential acquisitions, as well as for working capital and other general corporate purposes.
The closing of the first tranche is subject to the receipt of all required regulatory approvals, including the approval of the TSX Venture Exchange.
All securities to be issued in the first tranche will be subject to a statutory four-month hold period.
New Energy Metals is a Canadian-based resource company engaged in acquiring, exploring and developing mineral resource properties.
New Energy Metals Corp. opened trading at $0.31.