VMS Ventures arranges $3-million private placement
2015-04-30 16:47 ET - News Release
Mr. John Roozendaal reports
VMS VENTURES ANNOUNCES PRIVATE PLACEMENT OF UP TO $3 MILLION
VMS Ventures Inc. has arranged a non-brokered private placement comprising a combination of flow-through shares at 27.5 cents per FT share and non-flow-through units at a price of 25 cents per unit for gross proceeds of up to $3-million.
Each unit will consist of one common share and one common share purchase warrant in the capital of the company. Each warrant is exercisable into one common share of the company for a period of 24 months from closing at a price of 30 cents per common share in the first year and a price of 35 cents in the second year.
The company will pay to the finders a cash commission of 6 per cent of the gross sales of FT shares and units and issue to finders 6 per cent of the number of FT shares and units sold in finders' warrants, with each finder's warrant being exercisable for 24 months at a price of 25 cents per common share. Marquest Capital Markets and Secutor Capital Management Corp. have agreed to act as finders in connection with the offering. Officers and directors of the corporation are participating in the financing.
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 FT shares will be used by the company for allowable Canadian exploration expenses and, in certain instances, for the Manitoba Mineral Exploration Tax Credit. The proceeds from the units will be used for general working capital.
We seek Safe Harbor.
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