Cantex Closes Private Placement
Cantex Closes Private Placement
KELOWNA, BC
,
Oct. 21, 2021
/CNW/ -
Cantex Mine Development Corp.
(TSXV: CD) (the
"Company") announces that, further to its news release of
October 5, 2021
announcing a private
placement (the "Offering"), the Company has closed the Offering and has received
$4,200,000
by
the issuance of 8,400,000 flow through units (the "FT Units") at a price of
$0.50
per FT Unit, each
FT Unit comprised of a flow through share and one-half of one non-flow through warrant; with each
whole warrant entitling the holder to acquire one common share of the Company at a price of
$0.65
for a term of two years from closing.
Proceeds from the Offering will be used to fund upcoming drill programs on the Company's North
Rackla Project in the
Yukon
.
The Company paid
$203,400
in finders fees in connection with Offering.
The securities issued in the Offering are subject to a four month hold period. This hold period
expires
February 20, 2022
for 5,220,000 shares issued and
February 22, 2022
for 3,180,000
shares.
0974052 B
.C. Ltd. ("BC Ltd"), a company over which Dr.
Charles Fipke
, the Chairman and a control
person of the Company exercises control and direction over, subscribed for 800,000 FT Units for a
total subscription price of
$400,000
. BC Ltd acquired the FT Units for investment purposes. The
Offering and the acceptance of the subscription by BC Ltd was approved by unanimous resolution of
the board of directors of the Company with Dr. Fipke declaring his interest in the resolution and
abstaining from voting. There was no formal valuation of the Company done in connection with the
Offering nor has there been such a formal valuation in the past 24 months. The Company relied upon
the exemptions contained in Section 5.5(b) and 5.7(b), of Multilateral Instrument 61-101 ("MI 61-
101") to avoid the formal valuation and shareholder approval requirements of MI 61-101. For the
purposes of Section 5.5(b), the Company does not have any securities listed on any of the stock
exchanges set out in Section 5.5(b) and for the purposes of Section 5.7(b) the exemption was
available as the consideration paid for the FT Units subscribed for by BC Ltd was less than
$2,500,000
.
Signed,
Chad Ulansky
Chad Ulansky
President and CEO
FORWARD LOOKING STATEMENTS: Certain of the statements and information in this press
release constitute "forward-looking statements" or "forward-looking information", including
statements regarding the expected use of proceeds of the private placement. Further, any
statements or information that express or involve discussions with respect to predictions,
expectations, beliefs, plans, projections, objectives, assumptions or future events or performance
(often, but not always, using words or phrases such as "expects", "anticipates", "believes", "plans",
"estimates", "intends", "targets", "goals", "forecasts", "objectives", "potential" or variations thereof or
stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken,
occur or be achieved, or the negative of any of these terms and similar expressions) are not
statements of historical fact and may be forward-looking statements or information. The
Company's forward-looking statements and information are based on the assumptions, beliefs,
expectations and opinions of management as of the date of this press release, and other than as
required by applicable securities laws, the Company does not assume any obligation to update
forward-looking statements and information if circumstances or management's assumptions,
beliefs, expectations or opinions should change, or changes in any other events affecting such
statements or information. For the reasons set forth above, investors should not place undue
reliance on forward-looking statements and information.
Neither 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.
SOURCE
Cantex Mine Development Corp.
View original content:
http://www.newswire.ca/en/releases/archive/October2021/21/c2148.html
%SEDAR: 00010333E
For further information:
Cantex Mine Development Corp, Tel: +250-860-8582; Email:
CO: Cantex Mine Development Corp.
CNW 16:30e 21-OCT-21