GPM Metals Announces Up to C$2.2M Non-Brokered Private Placement

Rhea-AI Summary

GPM Metals Inc. (TSXV: GPM) has announced a non-brokered private placement of up to 36,666,667 units at C$0.06 per unit, aiming to raise approximately C$2,200,000. Each unit consists of one common share and half a warrant, with each whole warrant allowing the purchase of one common share at C$0.10 within 24 months of closing. The proceeds will fund exploration at the Walker Gossan Project in Australia and general corporate purposes. The offering, subject to regulatory approvals, is expected to close around August 30, 2024, with a four-month hold period on securities. No finders' fees are anticipated.

Positive

• Potential to raise up to C$2.2 million in capital
• Funds allocated for exploration of Walker Gossan Project in Australia
• Warrants provide potential for additional future funding at C$0.10 per share

Negative

• Potential dilution of existing shareholders' equity
• Offering price of C$0.06 per unit may indicate low current share valuation

Toronto, Ontario--(Newsfile Corp. - August 19, 2024) - GPM Metals Inc. (TSXV: GPM) ("GPM" or the "Company") is pleased to announce a non-brokered private placement of up to 36,666,667 units of the Company (the "Units") at a price of C$0.06 per Unit for aggregate gross proceeds of up to approximately C$2,200,000 (the "Offering"). Each Unit will consist of one common share of the Company and one-half of one common share purchase warrant of the Company (each whole common share purchase warrant, a "Warrant"). Each Warrant will entitle the holder thereof to acquire one common share of the Company at a price of C$0.10 for a period of 24 months from the closing of the Offering.

The proceeds of the Offering will be used by the Company for exploration efforts at its Walker Gossan Project located in Australia and for general corporate purposes and working capital.

The Offering is subject to the receipt of all regulatory approvals including the approval of the TSX Venture Exchange ("TSXV"). All securities issued under the Offering will be subject to a hold period expiring four months and one day from the date of issuance. The Offering is expected to close on or about August 30, 2024, or such other date as determined by the Company. No finders' fees are expected to be payable in connection with the Offering.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any securities in the United States or any other jurisdiction. No securities may be offered or sold in the United States or in any other jurisdiction in which such offer or sale would be unlawful prior to registration under U.S. Securities Act of 1933 or an exemption therefrom or qualification under the securities laws of such other jurisdiction or an exemption therefrom.

For further information please contact:

Daniel Noone
Executive Chairman
Telephone: 416 997 7507
Email: info@gpmmetals.com

Neither 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.

Forward-Looking Statements

Information set forth in this news release involves forward-looking statements under applicable securities laws. The forward-looking statements contained herein include, but are not limited to, the anticipated size, terms and completion of the Offering, the closing date of the Offering, the intended use of proceeds and the receipt of TSXV approval, and all such forward-looking statements are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this news release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although the Company believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct and, accordingly, undue reliance should not be put on such forward-looking statements. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein.

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/220371

FAQ

What is the size and price of GPM Metals' (TSXV: GPM) private placement offering?

GPM Metals is offering up to 36,666,667 units at C$0.06 per unit, aiming to raise approximately C$2,200,000.

How will GPM Metals (TSXV: GPM) use the proceeds from the private placement?

The proceeds will be used for exploration efforts at the Walker Gossan Project in Australia and for general corporate purposes and working capital.

What are the terms of the warrants included in GPM Metals' (TSXV: GPM) offering?

Each unit includes half a warrant, with each whole warrant allowing the purchase of one common share at C$0.10 within 24 months of the offering's closing.

When is the expected closing date for GPM Metals' (TSXV: GPM) private placement?

The offering is expected to close on or about August 30, 2024, subject to regulatory approvals.