LK ANNOUNCES $1.8 MILLION PRIVATE PLACEMENT LAKELAND RESOURCES INC. ANNOUNCES $1.8 MILLION PRIVATE PLACEMENT, APPOINTS CHIEF FINANCIAL OFFICER
Lakeland Resources Inc. has arranged a private placement of up to 13,833,400 flow-through units at a price of 12 cents per flow-through unit and up to 2.25 million units at 10 cents per unit for gross proceeds of up to $1,885,008. Each flow-through unit will consist of one flow-through common share and one-half of one non-flow-through common share purchase warrant in the capital of the company. Each whole share purchase warrant is exercisable into one common share of the company for a period of 24 months from closing at a price of 15 cents per common share.
Each unit will consist of one non-flow-through common share and one warrant. Each warrant is exercisable into one common share of the company for a period of 24 months from closing at a price of 15 cents per common share.
The company has engaged Secutor Capital Management Corp., the finder, to assist in connection with private placement. The company will pay to the finder a cash commission of 8 per cent of the gross sales of flow-through units and units arranged by the finder and issue to the finder warrants totalling 8 per cent of the number of flow-through units and units arranged by it, with such finder's warrants being exercisable for 24 months at a price of 12 cents for warrants issued in respect of flow-through units and at a price of 10 cents for warrants issued in respect of units. The issuer and the finder may agree to increase the offering in their discretion.
All the securities issuable will be subject to a four-month hold period from the date of closing. The private placement is subject to the approval of the TSX Venture Exchange.
The proceeds received from the flow-through units will be used by the company to incur qualified Canadian exploration expenses, and the proceeds raised by the issuance of units will be used for share issue costs, corporate development, and general and administrative purposes.
Appointment of chief financial officer
The company is pleased to announce Jody Bellefleur as CFO for the company. Ms. Bellefleur has been CFO of Zimtu Capital Corp. since June, 2013, and has been with the Zimtu group of companies since 2008. She is responsible for regulatory financial reporting, including the preparation of quarterly financial statements and related management's discussions and analyses. Ms. Bellefleur is a CGA with over 20 years of experience as a corporate accountant. Ms. Bellefleur has worked as an accountant for various publicly listed mineral exploration companies exclusively for six years and, prior to that, with a private manufacturing company for 12 years. She has been a member of the Certified General Accountants Association of British Columbia since 1998. Ms. Bellefleur is a graduate of the University of British Columbia with a bachelor of commerce.
Sam Wong has resigned as CFO, and management would like to thank Mr. Wong for the contributions that he has made during his tenure as CFO.