Callinex Closes $6.24 Million Private Placement Financing
Callinex Mines Inc. has successfully closed a non-brokered private placement, raising C$6.24 million aimed at funding the drill campaign at the Rainbow Deposit in Manitoba. The offering included HD Units priced at C$3.11 and FT Units priced at C$5.00. The funds will support ongoing exploration efforts and contribute to a 43-101 resource estimate for the high-grade deposit. The issued securities are subject to resale restrictions until August 22, 2022, and a finder’s fee of $167,165 was paid as part of the offering.
- Successfully raised C$6.24 million through a non-brokered private placement.
- Funding will support ongoing drill campaign at the Rainbow Deposit.
- The financing allows for the continued expansion and publication of the resource estimate.
- None.
VANCOUVER, BC, April 22, 2022 /PRNewswire/ - Callinex Mines Inc. (the "Company" or "Callinex") (TSXV: CNX) (OTCQX: CLLXF) is pleased to announce that it has closed its fully subscribed non-brokered private placement for gross proceeds of C
Max Porterfield, President and CEO stated, "The Company is now fully funded and focused on the continued expansion and publication of a 43-101 resource estimate on the high-grade copper, gold, silver and zinc rich Rainbow Deposit at the Company's Pine Bay Project in Manitoba. We are grateful for the support from the new and existing shareholders in this financing which allows us to continue to execute on our long-term objectives."
The Offering consisted of (i) 453,446 hard dollar units (the "HD Units") at a price of C
Each HD Unit consists of one common share and one-half of one transferable common share purchase warrant (each whole such common share purchase warrant, a "Warrant"). Each FT Unit consists of one flow-through common share and one-half of one transferrable Warrant to be issued on a non-flow-through basis. Each Warrant shall be exercisable into one additional common share (a "Warrant Share") for two (2) years from closing at an exercise price of C
The Warrants will be subject to an acceleration clause whereby if at any time the volume-weighted average trading price of the common shares exceeds C
The securities issued under the Offering are subject to restrictions on resale expiring on August 22, 2022. The Company paid finders a fee totaling
The gross proceeds from the sale of FT Units will be used by the Company to incur eligible "Canadian exploration expenses" that will qualify as "flow-through mining expenditures" as such terms are defined in the Income Tax Act (Canada) (the "Qualifying Expenditures") related to the Pine Bay Project, Manitoba. All Qualifying Expenditures will be renounced in favour of the subscribers of the Flow-Through Shares effective December 31, 2022. The net proceeds from the sale of the HD Units will be used by the Company for working capital and general corporate purposes.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Callinex Mines Inc. (TSXV: CNX) (OTC: CLLXF) is advancing its portfolio of base and precious metals rich deposits located in established Canadian mining jurisdictions. The focus of the portfolio is highlighted by the rapidly expanding Rainbow Discovery at its rich VMS Pine Bay Project located near existing infrastructure in the Flin Flon Mining District. The second asset in the portfolio is the Nash Creek Project located in the VMS rich Bathurst Mining District of New Brunswick. A 2018 PEA generates a strong economic return with a pre-tax IRR of
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the ability to complete the proposed drill program and the timing and amount of expenditures. Except as required under applicable securities laws, Callinex does not assume the obligation to update any forward-looking statement.
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SOURCE Callinex Mines Inc.
FAQ
What is the purpose of Callinex's recent C$6.24 million funding?
What was the offering price for the HD Units in Callinex's financing?
What restrictions apply to the securities issued by Callinex?
How much did Callinex pay in finder’s fees for the financing?
When will the flow-through mining expenditures be renounced by Callinex?
