Grid Metals Corp Closes $4.92 Million First Tranche of $8.52 Million Strategic Financing
GRID METALS CORP CLOSES $4.92 MILLION FIRST TRANCHE OF
$8.52 MILLION STRATEGIC FINANCING
September 19 , 2022 GRID METALS CORP. ( TSXV:GRDM)(OTCQB:MSMGF) ( “Grid “ or the “Company”)
today announced it has closed a $4,920,000 first tranche (the “First Tranche”) of its previously announced
non-brokered private placement of 56 million shares for gross proceeds of $8,520,000 ( the “Offering”).
Churchill Strategic Investments Pty Ltd is acting as Lead Manager of the Offering.
The First Tranche of the Offering consisted of the following:
• 20,000,000 charitable flow-through common shares of the Company (the “Charity Shares”) sold
at a price of $0.21 per Charity Share for gross proceeds of $4,200,000; and
• 6,000,000 ordinary common shares of the Company (“Shares”) sold at a price of $0.12 per Share
for gross proceeds of $720,000
Each Charity Share has been issued as a “flow -through share” within the meaning of the Income Tax Act
(Canada).
Proceeds from the sale of Charity Shares will be used to incur "Canadian exploration expenses" as defined
in subsection 66.1(6) of the Income Tax Act that qualify for the federal 30% Critical Mineral Exploration
Tax Credit announced in the federal budget on April 7, 2022 and will be eligib le for the 30% Manitoba
Mineral Exploration Tax Credit ("Qualifying Expenditures"). Such proceeds will be renounced to the
subscribers with an effective date not later than December 31, 2022, in the aggregate amount of not less
than the total amount of gross proceeds raised from the issue of the Charity Shares
Churchill Strategic Investments Pty Ltd and Red Cloud Securities acted as finders for the First Tranche of
the financing. Total finders fees payable are $211.200 cash and 5,360,000 finders warrants . Finders
warrants are exercisable for a period of up to three years from the closing of the First Tranche at a price
of $0.20 per share.
The final tranche of the Offering is expected to occur on or before September 23, 2022 and is subject to
receipt of all applicable regulatory approvals, including approval of the TSX Venture Exchange. The Shares,
Charity Shares, and any ordinary common shares issuable upon the exercise of finders’ warrants issued
with respect to the Offering will be subject to a hold period of four months and one day in accordance
with applicable securities laws.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended (the
"U.S. Securities Act"), or any applicable state securities laws, and may not be offered or sold to, or for the
account or benefit of, persons in the United States or "U.S. persons," as such term is defined in Regulation
S promulgated under the U.S. Securities Act, absent registration or an exemptio n from such registration
requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy
nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would
be unlawful.
ABOUT GRID METALS CORP.
Grid Metals Corp. is an exploration and development Company that has a diversified portfolio of projects
focused on nickel-copper-platinum group metals and lithium. Grid’s projects are located in the provinces
of Manitoba and Ontario Canada. The Company is focused on timely advancement of its property portfolio
through prudent exploration and development activities. To find out more about Grid Metals Corp., please
visit www.gridmetalscorp.com.
On Behalf of the Board of Grid Metals Corp.
Robin Dunbar - President, CEO & Director Telephone: 416-955-4773 Email: [email protected]
David Black - Investor Relations Email: [email protected]
We seek safe harbour. This news release contains forward-looking statements within the meaning of the
United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the
meaning of the Securities Act (Ontario) (together, "forward -looking statements"). Such forward -looking
statements include the Comp any’s closing of the proposed financial transactions, sale of royalty and
property interests. the overall economic potential of its properties, the availability of adequate financing
and involve known and unknown risks, uncertainties and other factors which may cause the actual results,
performance or achievements expressed or implied by such forward- looking statements to be materially
different. Such factors include, among others, risks and uncertainties relating to potential political risk,
uncertainty of production and capital costs estimates and the potential for unexpected costs and expenses,
physical risks inherent in mining operations, metallurgical risk, currency fluctuations, fluctuations in the
price of nickel, cobalt, copper and other metals, completion of economic evaluations, changes in project
parameters as plans continue to be refined, the inability or failure to obtain adequate financing on a timely
basis, and other risks and uncertainties, including those described in the Company's Management
Discussion and Analysis for the most recent financial period and Material Change Reports filed with the
Canadian Securities Administrators and available at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press
release.
This news release does not constitute an offer of securities for sale in the United States. The securities
being offered have not been, nor will they be, regi stered under the United States Securities Act of 1933,
as amended, and such securities may not be offered or sold within the United States absent U.S.
registration or an applicable exemption from U.S. registration requirements.