First Nordic Announces New Warrant Incentive Program
First Nordic Announces New Warrant Incentive
Program
VANCOUVER, BC
,
July 11, 2024
/CNW/ -
First Nordic Metals Corp.
(the
"Company"
or
"First
Nordic"
) (TSXV: FNM) (OTCQB: FNMCF) (FRA: HEG0) announces that subject to acceptance by
the TSX Venture Exchange (the "
TSXV
"), the Company intends to amend the exercise price of an
aggregate of 3,161,558 outstanding common share purchase warrants of the Company that were
issued as part of a private placement that closed on
August 23, 2022
(the "
Warrants
"), and to
announce a warrant exercise incentive program (the
"Incentive Program"
) on these Warrants.
Taj Singh
, President and CEO states:
"Based on the success of our recently completed warrant
program, with over 80% of subscribers participating and over
$2 million
being raised, we are
opening up a similar warrant reprice / incentive plan on a near-expiring set of warrants."
The Warrants have a current exercise price of
$0.45
and the Company intends to amend the
exercise price to
$0.36
following receipt of TSXV acceptance of the proposed repricing of the
Warrants. All other terms of the Warrants will remain the same, including the expiry date of
August
23, 2024
.
In addition, the Company is pleased to announce a warrant exercise incentive program (the
"
Incentive Program
"), pursuant to which the Company will offer holders of all the above-noted
outstanding Warrants the opportunity to exercise each of their outstanding Warrants between
12:00
p.m. Pacific Standard Time
("
PST
") on
July 11, 2024
, and
12:00 p.m. PST
on
July 26, 2024
. In
return for the early exercise, each holder will receive one common share in the capital of the
Company (each a "
Common Share
") pursuant to the original warrant terms, plus as an incentive,
one-half of one common share purchase warrant (each whole warrant, an "
Incentive Warrant
").
Each Incentive Warrant will allow the holder to acquire one Common Share at an exercise price of
$0.40
for a period of two years following the date of the issuance of the Incentive Warrant. The
Company anticipates issuing all the Incentive Warrants on or about
July 29, 2024
, following
conclusion of the Incentive Program. A holder may elect to exercise all, none, or a portion of their
outstanding warrants.
Any outstanding Warrants remaining unexercised after
12:00 p.m. PST
on
July 26, 2024
, will remain
outstanding and continue to be exercisable pursuant to their existing terms, including the amended
exercise price noted above if such amendment is approved by the TSXV.
Holders of Warrants who elect to participate in the Incentive Program will be required to deliver the
following to the Company on or prior to
12:00 p.m. PST
on
July 26, 2024
:
a duly completed and executed exercise form, in the form which accompanies the certificate
representing the outstanding Warrants;
the original certificate representing the outstanding Warrants being exercised; and
the applicable aggregate exercise price (based on the amended exercise price of
$0.36
)
payable to the Company by way of certified cheque, money order, bank draft, or wire transfer
in lawful money of
Canada
.
The proceeds from the early exercise of the outstanding Warrants will be used to advance the
Company's projects in
Sweden
and
Finland
and for general working capital.
The Common Shares issued on exercise of the outstanding Warrants will not be subject to any hold
period. The Incentive Warrants and any Common Shares issuable upon the exercise of the Incentive
Warrants will be subject to a hold period expiring four months after the date of distribution of the
Incentive Warrants.
The repricing of the Warrants and the Incentive Program are both subject to certain conditions,
including, but not limited to, the receipt of all necessary approvals, including the final approval of the
TSXV.
Certain insiders of the Company are expected to participate in the Incentive Program and, as a
result, the Incentive Program may constitute a "related party transaction" within the meaning of
Multilateral Instrument 61-101 -
Protection of Minority Shareholders in Special Transactions
("
MI
61-101
"). The Company expects to rely on the exemptions from the formal valuation requirements of
MI 61-101 contained in section 5.5(a) and (b) of MI 61-101 on the basis that the fair market value of
the transaction with insiders will not be more than 25% of the market capitalization of the Company
and no securities of the Company are listed on a specified market set out in such section, and the
Company further relies on the exemption from the minority shareholder approval requirements of MI
61-101 contained in Section 5.7(1)(a) of MI 61-101 on the basis of the fair market value of the
transaction with insiders will not be more than 25% of the market capitalization of the Company.
ABOUT FIRST NORDIC METALS
First Nordic's flagship is the Barsele gold project, located in
Sweden
and in a joint venture with
senior gold producer Agnico Eagle Mines Ltd. The Barsele project currently hosts a combined open
pit and underground NI 43-101 Indicated Resource of 324,000 ounces gold and an Inferred resource
of 2,086,000 ounces gold (2020, Technical Report and Mineral Resource Estimate for the Barsele
Property, InnovExplo). Immediately surrounding the Barsele project, First Nordic is the 100%-owner
of a district-scale license position of close to 100,000 hectares on both the prolific Gold Line and
Skellefte VMS belts. Additionally, in northern Finland First Nordic holds the entire underexplored
Oijärvi Greenstone Belt.
ON BEHALF OF THE BOARD OF DIRECTORS
Taj Singh
, M.Eng, P.Eng, CPA
President & CEO, Director
Follow First Nordic Metals:
Twitter: @fnmetals
Youtube: @firstnordicmetalscorp
LinkedIn: @firstnordicmetals
Facebook: @FirstNordicMetals
Instagram: @firstnordicmetals
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Cautionary Note Regarding Forward-Looking Statements:
This release contains "forward
looking information" or "forward-looking statements" within the
meaning of Canadian securities laws, which may include, but are not limited to statements relating
to receipt of TSXV acceptance of the proposed repricing of the Warrants, receipt of TSXV
acceptance of the proposed Incentive Program and participation by any holder of Warrants in the
Incentive Program. All statements in this release
,
other than statements of historical facts, that
address events or developments that the Company expects to occur, are forward-looking
statements. Forward-looking statements are statements that are not historical facts and are
generally, but not always, identified by the words "expects", "plans", "anticipates", "believes",
"intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions
"will", "would", "may", "could" or "should" occur. Although the Company believes the expectations
expressed in such forward-looking statements are based on reasonable assumptions, such
statements are not guarantees of future performance and actual results may differ from those in
the forward-looking statements. Such forward-looking information reflects the Company's views
with respect to future events and is subject to risks, uncertainties and assumptions. Such factors
include, among other things: risks and uncertainties relating to exploration and development, the
ability of the Company to obtain additional financing, the need to comply with environmental and
governmental regulations, fluctuations in the prices of gold and other commodities, operating
hazards and risks inherent in the resource industry, competition and other risks and uncertainties,
including those described in the Company's financial statements and/or management discussion
and analysis available on
www.sedarplus.ca
The Company does not undertake to update
forward
looking statements or forward-looking information, except as required by law
.
SOURCE
First Nordic Metals Corp.
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For further information:
For further information contact: Alicia Ford, Business Development
Manager, Phone: 604-687-8566, Email: [email protected]
CO: First Nordic Metals Corp.
CNW 09:00e 11-JUL-24