Cascadero Copper Announces Debt Settlement, Private Placement and Stock Option Grants
Cascadero Copper Announces Debt
Settlement, Private Placement and Stock
Option Grants
North Vancouver, British Columbia--(Newsfile Corp. - February 18, 2021) - CASCADERO COPPER
CORPORATION (TSXV: CCD) (the "
Company
") announces that it has entered into certain debt
settlement agreements, it intends to complete a private placement for gross proceeds of up to $500,000
and stock option grants to certain directors, officers, and consultants of the Company to purchase up to
15,000,000 common shares in the capital of the Company pursuant to the Company's stock option plan.
Debt Settlements
The Company announces that it has entered into debt settlement agreements with creditors to settle the
following debts (collectively, the "
Debt
"):
$225,000 due to the estate of Bill McWilliam and estate of Judith Harder (together, the "
Estates
")
pursuant to a loan agreement effective October 3, 2017, consisting of $200,000 in principal and
$25,000 in accrued interest thereon, will be settled by cash payments of $100,000 to each of the
Estates and the Estates will forgive the accrued interest of $25,000;
$423,667 due to the estate of Bill McWilliam, a director of the Company until March 2020 when he
passed away, will be forgiven;
$307,912 due to the estate of Judith Harder, a director and CEO of the Company until December
2018 when she passed away, will be forgiven; and
$21,341 due to Argentine Frontier Resources Inc., an entity controlled by the Estates, will be
forgiven.
Upon payment of the aforementioned amounts, the Debt will be fully satisfied and extinguished.
In connection with settlement of the Debt, the Company has entered into a share transfer agreement with
the Estates pursuant to which the Company will acquire from the Estates all of their shares in the capital
of Cosmos Minerals Corporation for a nominal amount.
Private Placement
The Company also announces that it intends to raise up to $500,000 by way of a non-brokered unit
private placement (the "
Offering
") of up to 14,285,714 units at a unit price of $0.035 (the "
Units
"), each
Unit will consist of one common share at a purchase price of $0.035 and one share purchase warrant
entitling the holder to purchase one additional common share, up to a total of 14,285,714 warrant
shares, at a warrant exercise price of $0.05 exercisable 24 months from the date of closing.
The Offering
will be made subject to a discretionary waiver of the $0.05 minimum pricing requirement from the TSX
Venture Exchange (the "
Exchange
").
The Offering is subject to Exchange final acceptance.
Assuming the Offering is fully subscribed, the Company intends to allocate the net proceeds as follows:
approximately $200,000 for payment of the Debt and the balance of approximately $300,000 for general
working capital purposes.
Although the Company intends to use the proceeds of the Offering as described above, the actual
allocation of net proceeds may vary from the uses set forth above, depending on future operations or
unforeseen events or opportunities.
If the Offering is not fully subscribed, the Company will apply the
proceeds of the Offering to the above uses in priority and in such proportions as the board of directors
and management of the Company determine is in the best interests of the Company.
All securities issued in connection with the Offering will be subject to a four-month hold period in
accordance with applicable securities laws.
Stock Options
The Company also announces that it has granted incentive stock options to certain directors, officers,
and consultants of the Company to purchase up to 15,000,000 common shares in the capital of the
Company pursuant to the Company's stock option plan.
The options are exercisable on or before
February 18, 2026 at an exercise price of $0.05 per share.
The grant of options is subject to regulatory
approval.
On behalf of the Board of Directors:
Dr. George Gale
Interim CEO
Phone: (604) 985-3327
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Forward-Looking Statements
This news release contains forward-looking statements and information that are based on the beliefs of
management and reflect the Company's current expectations.
When used in this news release, the
words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict", "may" or "should"
and the negative of these words or such variations thereon or comparable terminology are intended to
identify forward-looking statements and information.
The forward-looking statements and information in
this news release includes information relating to the debt settlement, the private placement and the
stock option grants.
The forward-looking information is based on certain assumptions, which could
change materially in the future.
Such statements and information reflect the current view of the Company
with respect to risks and uncertainties that may cause actual results to differ materially from those
contemplated in those forward-looking statements and information.
By their nature, forward-looking
statements involve known and unknown risks, uncertainties and other factors that may cause the
Company's actual results, performance or achievements, or other future events, to be materially different
from any future results, performance or achievements expressed or implied by such forward-looking
statements.
Such factors include, among others, the risk that the debt settlement agreements may not
complete as expected or at all, the private placement may not be completed as expected or at all, the
use of proceeds from the private placement may not be as contemplated, the stock options may not be
granted as expected.
When relying on the Company's forward-looking statements and information to
make decisions, investors and others should carefully consider the foregoing factors and other
uncertainties and potential events. The Company has assumed a certain progression, which may not be
realized.
It has also assumed that the material factors referred to above will not cause such forward-
looking statements and information to differ materially from actual results or events.
However, the list of
these factors is not exhaustive and is subject to change and there can be no assurance that such
assumptions will reflect the actual outcome of such items or factors.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS NEWS RELEASE REPRESENTS
THE EXPECTATIONS OF THE COMPANY AS OF THE DATE OF THIS NEWS RELEASE AND,
ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE
UNDUE IMPORTANCE ON FORWARD-LOOKING INFORMATION AND SHOULD NOT RELYUPON
THIS INFORMATION AS OF ANYOTHER DATE. WHILE THE COMPANY MAY ELECT TO, IT DOES
NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANYPARTICULAR TIME EXCEPT AS
REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/74819