Binding Term Sheet for $5.125 M and raise for $199 K.TOC continues to trade in a very narrow range with another 252,000 shares of buying this week in a very narrow price range, I might add, TOC held this price in a very down market overall. I wonder what the Terms and Conditions are for this binding term sheet, I guess we will find out at the end of the due diligence period June 30.
"..... Tocvan Ventures Corp. has executed a binding term sheet in connection with a proposed financing for $5,125,000 with an institutional investor, the terms of which will be announced once all due diligence has been completed, which is expected by June 30, 2022. The company has agreed to pay a refundable due diligence deposit of $75,000 (CAD) (the " Deposit Shares ") via the issuance of 81,522 common shares of the Company at a deemed issue price of $0.92 per common share..... "
TOC also completed a nice little cash top up....
"...... The Company is also pleased to announce it has closed a non-brokered private placement of 243,500 units (the " Units ") at CAD $0.82 per Unit, for gross proceeds of $199,670 (CAD) (the " Offering "). Each Unit is comprised of one common share of the Company (a " Share ") and one common share purchase warrant (a " Warrant "). Each Warrant will entitle the holder to acquire one additional Share in the capital of the Company at a price of CAD $1.40 for a period of 24 months from the date the Units are issued, subject to the accelerated expiry provision described in the notes below.
If, on any 10 consecutive trading days occurring after four months and one day has elapsed following the closing date of the Offering, the closing sales price of the Shares (or the closing bid, if no sales were reported on a trading day) as quoted on the Canadian Securities Exchange (" Exchange ") is greater than CAD $1.65 per Common Share, the Company may provide notice in writing to the holders of the Warrants by issuance of a press release that the expiry date of the Warrants will be accelerated to the 30 th day after the date on which the Company issues such press release. ...."
My conclusion: great to see people interested in putting money in TOC at these prices to bring forward Pilar and start drilling Picacho. Looks like a great summer, fall and year ahead. Share structure remains very good and plenty of room for upside financings and acceleration of warrants, which will raise another $5.125 M with no dilution on a fully diluted basis. PERFECT....