RE:Aurcrest Gold arranges $500,000 financing The actual press release that I saw stated,
TORONTO, ONTARIO--(Marketwired - Oct 26, 2015) - AurCrest Gold Inc. (the "Company" or "AurCrest") (TSX VENTURE:AGO) is pleased to announce a brokered private placement (the "Offering") of up to 10,000,000 working capital units (the "WC Units") of the Company at a price of $0.05 per WC Unit for up to $500,000. ....Proceeds from the Offering will be
used for general working capital.
...The Company has agreed to pay the Agent a commission of 9% cash and issue broker warrants ("Broker Warrants") equal to 10% of the number of WC Units sold under the Offering. Each Broker Warrant entitles the holder to acquire a WC Unit for five (5) years from Closing at a price of $0.05 per Broker Warrant....
- Hard to see how a company is "pleased" to announce that they need capital and have to do another dilutive pp
- Hard to see how a company is "pleased" that they have to pay 9-10% commission
- Hard to see how a company is "pleased" that the funds raised will just be used for general working capital -- which typically means ongoing administrative expenses