Channel Resources Ltd V.CHU

Warrants

[moneydaze]

Warrants about to be excercised...


During the quarter, on May 7, 2010, the Company closed a private placement announced on April 9, 2010 of 5,000,000 units

(a "Unit") at a price of CDN
.07 per Unit for gross proceeds of $350,000. Each Unit was comprised of one common share of the Company ("Common Shares") and one share purchase warrant (a "Warrant"), with each Warrant being exercisable for one Common Share ("Warrant Share") at an exercise price of CDN
.11 for a period of 24 months. If, during the first six months following the closing date of the financing, the shares of the Company close at a price of
.20 or higher for a minimum of 10 consecutive trading sessions, then the Warrants must be exercised within 15 business days after notice by the Company of that event, failing which they will expire. An additional 500,000 Units having the same terms as the Units issued to the subscribers and 500,000 finders’ warrants with an exercise price of
.10 for 24 months were issued to PI Financial Corp., as finder in connection with the financing.



Just thought i would mention this as these PI financial guys are the ones pushing this stock to where it is now.

Moneydaze

[pointview]

good point their moneydaze. which means today is the day we close above 20 cents for the 10th day (if nothing serious happens) and then they will have to exercise within 15 days, which will give the big guys (it there are any watching this one, lol) plenty of cheap shares available from people who might need to sell to pay for the wts, right? cheers, pointview

[ds760]

Doesn't seem like  a significant amount of warrants to really matter.

[moneydaze]

I wouldnt say it is not enough to matter.we shouldnt just blow it off5 000 000 warrants is quite a large amount in any stock it should generate about 550 000 dollars for the company as well so we will see.Have a good dayMoneydazeP.S. they may have already been excercised. The warrants are with PI Financial and they were the ones moving this company a couple of weeks ago.