PP News out Erin Ventures Announces Price Change for its Proposed Private Placement
March 23, 2020
Erin Ventures Inc. ("Erin" or the “Company”) [TSXV: EV] announces it is repricing its private placement offering announced on February 24, 2020 from $0.05 per Unit to $0.035 per Unit for gross proceeds of up to $500,000.00 (the “Offering”). As a result of current market trends the TSX Venture Exchange (“TSXV”) has provided the Company conditional acceptance for the private placement repricing.
The Offering is available to existing security holders of Erin (“Shareholders”) in accordance with the provisions of the existing shareholder exemption (the “Existing Shareholder Exemption”) pursuant to BC Instrument 45-534 (the Existing Shareholder Exemption is not available in Ontario or Newfoundland and Labrador). In addition to conducting the Offering pursuant to the Existing Shareholder Exemption, Units will be offered to accredited investors, close personal friends and business associates of directors and officers of the Company, and certain investors who have been advised on the suitability of their investment by registered investment dealers (the “Registered Advisor Exemption”).
The Company intends to use 55% of the net proceeds from the Offering, whether fully subscribed or not, to fund further development of its wholly owned Piskanja boron project in Serbia and 45% of the net proceeds from the Offering for general working capital purposes (consisting of payroll 28%, suppliers 11% and contractors 61%).
Each Unit will be comprised of one (1) common share in the capital of the Company (a “Share”) and one (1) common share purchase warrant (a “Warrant”). Each Warrant will have a three (3) year term (the “Exercise Period”) and will be exercisable into one (1) Share at a price of $0.075 in the first year and $0.10 thereafter per Share over the Exercise Period.
The Company has set February 21, 2020 as the record date for the purpose of determining Shareholders entitled to purchase Units relying on the Existing Shareholder Exemption. The aggregate acquisition cost to a subscriber relying on the Existing Shareholder Exemption cannot exceed $15,000 in a 12-month period unless the subscriber has obtained advice from a registered investment dealer regarding the suitability of the investment.
Unless the Company determines to increase the gross proceeds of the Offering and receives TSXV approval for such increase, if subscriptions by existing Shareholders exceed the maximum number of Units proposed to be distributed after having first satisfied the subscriptions of those subscribers relying on other prospectus exemptions referred to herein, subscribers relying on the Existing Shareholder Exemption will be entitled to a pro rata portion of the balance of Units available under the Offering.
Existing Shareholders are directed to contact the Company for further information concerning subscriptions for Units pursuant to the Existing Shareholder Exemption, as follows:
Contact person: Blake Fallis
Telephone: 1-250- 384-1999 or 1-888-289-3746
Email: blake@erinventures.com