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SRG Graphite Announces $3M Strategic Equity Financing With CORIS Capital SA

V.FLCN

(TheNewswire)

Montreal, Quebec / TheNewswire / August 16, 2017 SRG Graphite Inc. (TSXV: SRG) (“SRG” or the “Company”) is pleased to announce a non‑brokered private placement (the “ Private Placement ”) with CORIS Capital SA (“CORIS”) of 7,500,000 units (the “ Units ”) at a price of C$0.40 per Unit, for total gross proceeds of C$3,000,000.  Each Unit will be comprised of one common share of the Company (a “ Share ”) and one-half of one non‑transferable share purchase warrant.  Each whole warrant (a “ Warrant ”) will entitle CORIS to purchase for a period of 24 months from the date of closing (the “ Expiry Date ”), one additional common share of the Company (a “ Warrant Share ”) at an exercise price of $0.50 per Warrant Share.  

 

CORIS is a leader in the West African banking, financial and investment sectors and has been actively involved in the mining industry for quite some time,” said Benoit La Salle, Executive Chairman, SRG . “We are privileged to welcome CORIS as a strategic partner and contributor to the development of SRG as the Company continues its quest to become a leader in the production and delivery of cost effective, quick-to-market, quality graphite.

 

This strategic investment by CORIS is a significant vote of confidence in SRG’s ability to successfully and efficiently develop the Lola Graphite project in Guinea , added Dr. Marc-Antoine Audet, SRG’s President and CEO.

 

The Company has also agreed to grant to CORIS a pre‑emptive right pursuant to which, for so long as CORIS holds any equity interest in the Company on a fully‑diluted basis, it will have the right to participate in any future equity private placement or public offering of the Company (an “ Offering ”) to allow it to maintain the same percentage interest in the Company after completion of the Offering (assuming the conversion or exchange of any convertible securities issued under the Offering) as existed immediately prior to completion of the Offering. Upon closing of the Offering, CORIS will have the right to nominate up to two members to SRG’s board of directors. The number of board members to be nominated will be determined based on the percentage interest held by CORIS.

 

The Offering, which remains subject to the approval of the TSX Venture Exchange, is expected to close by the end of August 2017.

 

No finders’ fees or commissions will be payable.  Net proceeds from the Private Placement will be used for exploration purposes and general working capital requirements. The securities issued under the Private Placement will be subject to a four-month restricted period.

 

ABOUT CORIS Capital SA

Coris Capital SA is a Mauritius-based company and a member of the Coris Group, which is controlled by Mr. Idrissa Nassa and includes Coris Capital SA and Coris Holdings SA. It has activities and investments in finance, telecom, mining and in the industrial sector. Coris Holdings SA is a private company based in Burkina Faso with investments in the banking (Coris International Bank), insurance (Coris Insurance), wealth management (Coris Financial Management) and industrial sectors (General Mining Logistics). Its activities are focused mainly in West Africa. 

  

ABOUT SRG

SRG is a Canadian-based company focused on developing the Lola Graphite deposit, located in the Republic of Guinea, West Africa. SRG is committed to operate in a socially, environmentally and ethically responsible manner.

 

For additional information, please visit SRG’s website at www.srggraphite.com .

 

For more information contact:

SRG Graphite Inc. (SRG)

Dr. Marc-Antoine Audet, President & CEO

Tel.: (514) 726-4158

Email: ceo@srggraphite.com

 

Jean-Paul Blais

NXT Communications

Tel.: +1 (514) 867-7447

Email: jp@thenxtgroup.com


Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

This release contains forward-looking statements.  More particularly, this release contains statements concerning the anticipated Private Placement.  Although SRG believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them because SRG can give no assurance that they will prove to be correct.  Since forward looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties.  The closing of the Private Placement could be delayed if SRG is not able to obtain the necessary regulatory and stock exchange approvals on the timelines it has planned.  The Private Placement will not be completed at all if these approvals are not obtained or some other condition to the closing is not satisfied.  Accordingly, there is a risk that the Private Placement will not be completely sold, completed within the anticipated time or at all.  Additional information on these and other factors that could affect SRG’s operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website ( www.sedar.com ).

THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES

NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Copyright (c) 2017 TheNewswire - All rights reserved.



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