Northway Resources Cor p.
Northway Resources Cor p.
Suite 310 – 119 West Pender St.
Vancouver BC, V6B1S5
NORTHWAY CLOSES INITIAL PUBLIC OFFERING
August 22, 2019 TSX Venture Exchange
Trading Symbol: NTW
Northway Resources Corp. (the “ Company”) is pleased to announce that it has
completed its initial public offering of 18,486,000 common shares (each a “Share”) issued
at a price of $0. 10 per Share. This generated aggregate gross proceeds of $ 1,848,600
pursuant to a prospectus dated July 30, 2019 (the “Prospectus”).
A cash commission equal to 7% of the gross proceeds of the offering was paid to the
Company’s agents, Haywood Securities Inc. and Echelon Wealth Partners Inc . and their
selling group members (the “Agents”), as well as a corporate finance fee of $35,000, plus
applicable taxes. In addition, the Agents received 1,294,020 non-transferable warrants to
acquire up to 1,294,020 Shares at a price of $0.10 per Share until August 22, 2021.
The Company will use the net proceeds from the offering in furtherance of its short term
business objectives as outlined in the Prospectus. A c opy of the Prospectus is available
under the Company’s profile on SEDAR at www.sedar.com.
The Company’s common shares were listed for trading and immediately halted on the
TSX Venture Exchange under the trading symbol “NTW” on August 22, 2019 and are
expected to commence trading on or about August 26, 2019.
The Company also granted an aggregate of 2,000,000 incentive sto ck options to its
directors and officers as outlined in the Prospectus. E ach option is exercisable at a price
of $0.10 per share for a period of five years, vesting immediately.
The Company expects to complete a concurrent non -brokered private placement o f
6,900,000 Shares at a price of $0.10 per Share (the “Placement ”), subject to the approval
of the TSX Venture Exchange, shortly after the commencement of trading. The proceeds
of the Placement will be used for general working capital.
The securities of t he Company 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 state
securities laws. Accordingly, the securities of the Company may not be offered or sold
within the Unite d States unless registered under the U.S. Securities Act and applicable
state securities laws or pur suant to an exemption from the registration requirements of
the U.S. Securities Act and applicable state securities laws. This news release does not
constitute an offer to sell or a solicitation of any offer to buy any securities of the
Company in any jurisdiction in which such offer, solicitation or sale would be unlawful.
A message from President and CEO, Mr. Flood: “We are very excited about closing
this transaction and being listed as a new public company on the TSXV. Northway
Resources was founded last year with the primary focus to explore for gold in
Alaska. The Healy Project, whic h we have optioned from Newmont Goldcorp,
presents significant opportunities for Northway in the Goodpaster Mining District,
host of the Pogo gold mine. We have the ad vantage of picking up where
Newmont left off, following multiple years of systematic regional exploration
which has led to the definition of numerous drill-ready targets which have never
been tested. We look forwar d to updating the market w ith drill results this fall as
they become available.”
On behalf of the Board of Directors
Zachary Flood
President and Chief Executive Officer
Telephone: (604) 363-1779
The information in this news release includes certain information and statements about management's
view of future events, expectations, plans and prospects that constitute forward looking statements.
These statements are based upon assumptions that are subject to significant risks and uncertainties.
Because of these risks and uncertainties and as a result of a variety of factors, the actual results,
expectations, achievements or performance may differ materially from those anticipated and indicated
by these forward looking statements. Forward-looking statements in this news release include, but are
not limited to, the Company’s proposed use of the proceeds of its initial public offering. Any number
of factors could cause actual results to differ materially from these forward-looking statements as well
as future results. Although the Company believes that the expectations reflected in forward looking
statements are reasonable, it can give no assurances that the expectations of any forward looking
statements will prove to be correct. Except as required by law, the Company disclaims any intention
and assumes no obligation to update or revise any forward looking statements to reflect actual results,
whether as a result of new information, future events, changes in assumptions, changes in factors
affecting such forward looking statements or otherwise.
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.