- Stratabound Minerals (SB) has raised more than C$5.1 million to fund exploration work at its properties as well as related maintenance expenses
- The placement was completed in two tranches, under which the company issued 25,564,950 units at a price of $0.20 each
- These units are comprised of one common share and half of one common share purchase warrant, with each whole warrant exercisable at a price of $0.30 per share
- Coast Capital Midas Master Fund LP and Jerritt Canyon Canada participated in the financing for 17,500,000 units and 5,000,000 units, respectively
- Stratabound Minerals (SB) is currently up 2.7 per cent and is trading at 19 cents per share
Stratabound Minerals (SB) has raised more than C$5.1 million to fund exploration work at its properties as well as related maintenance expenses.
Under the terms of the private placement, which was announced on August 10, the Toronto-based company issued a total of 25,564,950 units at a price of $0.20 each in two separate tranches.
The first tranche, which closed on August 21, consisted of 5,974,950 units, which generated $1,194,990 in gross proceeds.
The second tranche, which closed today, included 19,590,000 units for a total of $3,918,000.
These units are comprised of one common share in Stratabound Minerals and half of one common share purchase warrant. Each whole warrant will be exercisable at a price of $0.30 per share for a period of two years from the date of issuance.
Coast Capital Midas Master Fund LP and Jerritt Canyon Canada – a company controlled by Canadian billionaire Eric Sprott – took lead orders in the placement for 17,500,000 units and 5,000,000 units, respectively.
With the placement now complete, Coast Capital holds a 32.46 per cent stake in Stratabound Minerals on a partially-diluted basis, while Jerritt Canyon holds a total 21.5 per cent stake.
Chad Tappendorf, Partner at Coast Capital, commented on the financing.
“We are delighted to partner with the Stratabound team to help expedite the development of this asset which under their capable leadership appears destined to create a great deal of value for investors,” he said.
Kim Tyler, President and CEO of Stratabound Minerals, also commented, saying he is pleased to have the support of both Coast Capital and Jerritt Canyon.
“Our drill program at our flagship Golden Culvert project in the Yukon is now well underway and we are making preparations to commence exploration activities at our New Brunswick based projects,” he added.
Stratabound Minerals (SB) is currently up 2.7 per cent and is trading at 19 cents per share at 1:00pm EDT.