- Western Exploration LLC and Crystal Peak Minerals Inc. (CPM.H) have closed its $6 million subscription receipt financing
- The issue price of $2.65 per subscription receipt following the private placement is subject to approval of disinterested shareholders of Crystal Peak at a meeting expected to be held in December
- The closing the the private placement was completed in connection with the proposed reverse take-over of Crystal Peak under TSXV policies
- If escrow release conditions are not satisfied before January 11 then the proceeds will be returned to the holders of the receipts and then will be cancelled
- Net proceeds together with any cash on hand of Western Exploration are expected to be available to the resulting issuer after the closing of the private placement
- Crystal Peak Minerals Inc. (CPM.H) is unchanged trading at $0.02 per share at 2:12 p.m. ET
Western Exploration LLC and Crystal Peak Minerals Inc. (CPM.H) have closed its $6 million subscription receipt financing.
The closing of the private placement of 2,248,936 subscription receipts of Crystal Peak at a price of $2.65 per receipt totalled aggregate gross proceeds of approximately $6 million.
The issue price of $2.65 per subscription receipt following the private placement is subject to the approval of disinterested shareholders of Crystal Peak at a meeting expected to be held in December.
The closing of the private placement was completed in connection with the proposed reverse take-over of Crystal Peak under TSXV policies.
Each subscription receipt issued entitles the holder thereof to receive one unit of Crystal Peak with each unit comprised of one post-consolidated share and one warrant. It is upon satisfaction of the escrow release conditions.
Each warrant will entitle the holder to acquire one additional post-consolidation share at an exercise price of $3.97 at any time 24 months after the closing of the offering.
If the escrow release conditions are not satisfied before January 11, 2022, then the escrowed proceeds will be returned to the holders of the receipts and then will be cancelled.
The offering was led by Canaccord Genuity Corp., Stifel Nicolaus Canada Inc. and Cormark Securities Inc.
These agent companies received a cash commission of six per cent on the proceeds of the offering.
Crystal Peak issued the selling shareholder companies an aggregate of 89,957 broker warrants, with each entitling the holder to acquire one common share at an exercise price of $3.05 any time before the 12-month anniversary of the reverse take-over closing.
The net proceeds together with any cash on hand of Western Exploration are expected to be available to the resulting issuer after the closing of the private placement.
Crystal Peak Minerals Inc. (CPM.H) is unchanged trading at $0.02 per share at 2:12 p.m. ET.