A Bail-Out-Full of Shares Sold!Can you believe it that Harry has sold ELN shares to BUY ELN shares!
El Nino chairman, CEO Barr sells 1.17 million shares
2016-06-15 15:55 ET - News Release
Mr. Harry Barr reports
EL NINO ANNOUNCES EXTENSION OF PRIVATE PLACEMENT AND ISSUES EARLY WARNING REPORT
El Nino Ventures Inc. has received acceptance from the TSX Venture Exchange for an extension to complete its non-brokered private placement financing previously announced on April 21, 2016, for up to 25 million units at a price of two cents per unit, raising gross proceeds of up to $500,000, pursuant to a discretionary waiver from the TSX-V of the five-cent minimum pricing requirement. Each unit comprises one common share and one share purchase warrant. Each warrant will entitle the holder thereof to purchase one additional common share of the company at an exercise price of five cents per share, for a period of two years from closing, subject to the acceptance of the TSX-V.
Additionally, Harry Barr, chairman and chief executive officer of the company, sold 1,177,770 common shares of the company to reinvest in the private placement. Prior to the sale, Mr. Barr held, directly and indirectly, 8,944,554 shares and options to purchase an additional 550,000 common shares, representing approximately 25.6 per cent of the company's issued and outstanding shares on a postconversion beneficial ownership basis. As a result of Mr. Barr's sale of 1,177,770 common shares, Mr. Barr now owns 7,766,854 common shares and 550,000 options of the company, representing approximately 22.4 per cent of the company's current issued and outstanding shares on a postconversion beneficial ownership basis, which decreases Mr. Barr's ownership of common shares of the company by approximately 3.2 per cent.
Proceeds from the private placement in the amount of up to $309,000 will be used for further exploration and development on the company's Murry Brook polymetallic project in New Brunswick. Up to $66,000 will be used to settle related party debt, and up to $125,000 will be used for general working capital.
Finders' fees may be payable in cash, shares or warrants, or a combination may be paid in connection with the private placement.
The securities to be issued with respect to the private placement will be subject to a four-month-and-one-day hold period in accordance with applicable Canadian securities laws. The securities are also subject to voluntary pooling restrictions. Completion of the private placement and any finders' fees payable are subject to regulatory approvals.
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