Baselode Announces Intention to Close Second Tranche of Private Placement
Baselode Announces Intention to Close
Second Tranche of Private Placement
TORONTO
,
Sept. 9, 2021
/CNW/ -
Baselode Energy Corp.
(TSXV: FIND) (OTCQB: BSENF) (the
"
Company
") announces that, further to its news release dated
August 30, 2021
, the Company
intends on closing a second tranche of its previously announced non-brokered private placement (the
"
Offering
") of flow-through units ("
FT Units
") and non-flow-through units (the "
Units
") of the
Company. The closing of the second tranche is scheduled on or before
September 30, 2021
. Under
the second tranche, the Company anticipates aggregate gross proceeds to the Company of up to
$3,838,702
. Each FT Unit will consist of one common share of the Company to be issued as a "flow-
through share" within the meaning of the Income Tax Act (
Canada
) (each, a "
FT Share
") and one
half of one common share purchase warrant (each whole warrant, a "
Warrant
"). Each Warrant
issued under the second tranche will entitle the holder thereof to purchase one common share (each,
a "
Warrant Share
") at a price of
C$0.75
at any time on or before
September 30, 2023
. Each Unit
will consist of one common share of the Company and one half of one Warrant.
The Company confirms that there is no material information about the Company that has not been
disclosed.
Net proceeds from the Offering will be used for exploration work at the Company's Catharsis, Hook
and Shadow projects. Work at these projects includes diamond drill testing for near-surface,
basement-hosted, high-grade uranium targets in the
Athabasca
Basin area of northern
Saskatchewan, Canada
.
The gross proceeds from the issuance of the FT Shares will be used for "Canadian Exploration
Expenses" (within the meaning of the Income Tax Act (
Canada
)) (the "
Qualifying Expenditures
"),
which will be renounced with an effective date no later than
December 31, 2021
to the purchasers of
the FT Shares in an aggregate amount not less than the gross proceeds raised from the issue of the
FT Shares. If the Qualifying Expenditures are reduced by the Canada Revenue Agency, the
Company will indemnify each subscriber of FT Shares for any additional taxes payable by such
subscriber as a result of the Company's failure to renounce the Qualifying Expenditures.
The Company may pay finders fees in the second tranche on the same terms as in the first tranche.
The securities offered have not been, and will not be, registered under the United States Securities
Act of 1933, as amended (the "
U.S. Securities Act
") or any U.S. state securities laws, and may not
be offered or sold in
the United States
or to, or for the account or benefit of,
United States
persons
absent registration or an applicable exemption from the registration requirements of the U.S.
Securities Act and applicable U.S. state securities laws. This press release does not constitute an
offer to sell or the solicitation of an offer to buy securities in
the United States
, nor in any other
jurisdiction.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Cautionary Note Regarding Forward-Looking Statements:
This press release includes certain
forward-looking statements and forward-looking information (together, "forward-looking
statements"). All statements other than statements of historical fact included in this release,
including, without limitation, statements regarding, the Offering, and other future plans and
objectives of the Company are forward-looking statements. There can be no assurance that such
statements will prove to be accurate and actual results and future events may vary from those
anticipated in such statements. Important risk factors that could cause actual results to differ
materially from the Company's plans or expectations include failure to close the Offering, a failure
to obtain final TSXV approval of the Offering and failure to raise sufficient funds on the proposed
terms or at all. The forward-looking statements in this press release were developed based on the
assumptions and expectations of management, including that TSXV acceptance for the Offering
will be obtained, the required fundraising will be completed, and the other assumptions disclosed
in this press release and that the risks described above will not materialize. There can be no
assurance that the Offering will complete. The Company expressly disclaims any intention or
obligation to update or revise any forward-looking statements whether as a result of new
information, future events or otherwise, except as otherwise required by applicable securities
legislation.
SOURCE
Baselode Energy Corp.
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http://www.newswire.ca/en/releases/archive/September2021/09/c0456.html
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For further information:
Baselode Energy Corp., FIND on the TSXV; James Sykes, President and
CEO, [email protected]. 306-221-8717, www.baselode.com
CO: Baselode Energy Corp.
CNW 13:57e 09-SEP-21