First tranche closed ….It does not appear that it is oversubscribed Telemarker.... Someone gave you bad information.
September 19, 2024, Vancouver, British Columbia – TheNewswire – Happy Creek Minerals Ltd. (TSX-V: HPY) (“Happy Creek” or the “Company”) is pleased to announce it has closed the first tranche (the “First Tranche”) of its non-brokered private placement (the "Private Placement") as previously announced August 20, 2024.
In connection with closing the First Tranche, Happy Creek issued 9,000,000 units (each, a “Unit”) at a price of $0.05 per Unit for aggregate gross proceeds of $450,000. Each Unit consists of one common share in the capital of the Company (each, a “Common Share”) and one non-transferable Common Shares purchase warrant (each, a “Warrant”). Each Warrant is exercisable into one Common Share at a price of $0.075 per Common Share for a period of 24 months from the date of issuance.
The Company plans to use the proceeds of the First Tranche to complete exploration work on its Cariboo and Highland Valley projects as well as for general corporate working capital purposes.
Directors, management and insiders purchased an aggregate 2,600,000 Units, representing approximately 28.9% of the total number of Units sold in the First Tranche, with the associated common shares representing approximately 1.8% of the then outstanding shares as of the closing (and if the associated warrants are exercised, an aggregate of 5,200,0000 common shares representing approximately 3.5% of the then outstanding shares as of the closing). The purchase of such Units shall be considered to be a related-party transactions under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”) due to the participation of certain directors and officers of the Company, but shall be exempted from the requirements to obtain a formal valuation and to obtain minority approval pursuant to sections 5.5(a) and 5.7(1)(a) of MI 61-101, as the purchase of securities shall not exceed 25% of the Corporation’s market capitalization.
Securities issued pursuant to the First Tranche will be subject to a statutory hold period of 4 months from the date of issue, ending on January 19, 2025. In connection with the closing, the Company paid $14,700 and has issued 294,000 broker warrants having the same terms as the Warrants, in payment of finder fees.
The final closing of the remaining $50,000 of the announced Private Placement is dependent on the TSX.V approval of a Personal Information Form (“PIF”) for the investor. The Company intends to close the remainder of the Private Placement as soon as the investor's PIF is approved.
Subject to the clearance of the aforementioned PIF and filing of final documentation by the Company, the Private Placement has been accepted for filing by the TSX.V Exchange.
On behalf of the Board of Directors,
“Jason Bahnsen”
President and Chief Executive Officer