Commerce Resources Corp. Announces $300,000 Private Placement
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NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
Commerce Resources Corp. Announces $300,000 Private Placement
April 17, 2020 – Commerce Resources Corp. (TSXv: CCE, FSE: D7H) (the “ Company” or
“Commerce”) is pleased to announce a non-brokered private placement consisting of the issuance
of up to 2,727,272 units (each, a “ Unit”) at a price of $0 .11 per Unit for gross proceeds of up to
$300,000 (the “Offering”). Each Unit will consist of one common share of the Company (each, a
“Share”) and one common share purchase warrant (each, a “ Warrant”), with each Warrant
entitling the holder to purchase one Share at a price of $0.15 per Share for a period of five years
from closing of the Offering (the “Closing”). Insiders may participate in the Offering.
A portion or all of the Offering may be completed pursuant to Multilateral Notice 45 -313 –
Prospectus Exemption for Distributions to Existing Security Holders and the corresponding
blanket ord ers and rules in the participating jurisdictions (the “ Existing Security Holder
Exemption”). The Company has set April 16, 2020 as the record date for the purpose of
determining shareholders entitled to participate in the Offering in reliance on the Existing
Shareholder Exemption. Qualifying shareholders who wish to participate in the Offering should
contact the Company at the con tact information set forth below. In the event that aggregate
subscriptions for Units under the Offering exceed the maximum number of securities to be
distributed, then Units will be sold to qualifying subscribers on a pro rata basis based on the
number of Units subscribed for. In addition to conducting the Offering pursuant to the Existing
Shareholder Exemption, the Offering will also be conducted pursuant to other available
prospectus exemptions.
Finders’ fees may be payable in connection with the Offeri ng in accordance with the policies of
the TSX Venture Exchange (the “Exchange”).
All securities issued in connection with the Offering will be subject to a statutory hold period
expiring four months and one day after closing of the Offering. Completion of the Offering is
subject to the approval of the Exchange. Any participation by ins iders in the Offering will
constitute a related party transaction under Multilateral Instrument 61-101 - Protection of Minority
Security Holders in Special Transactions (“MI 61-101”) but is expected to be exempt from the formal
valuation and minority shareholder approval requirements of MI 61-101.
The aggregate gross proceeds from the sale of the Offering will be used to advance the
developments of the Company’s Ashram REE Deposit in Quebec and for working capital.
None of the securities sold in connection with the Offering will be registered under the United
States Securities Act of 1933, as amended, and no such securities may be offered or sold in the
United States absent registration or an applicable exemption from the registration requirements.
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This news 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 Commerce Resources Corp.
Commerce Resources Corp. is an exploration and development company with a particular focus
on deposits of rare metals and rare earth elements. The Company is focused on the development
of its Ashram Rare Earth Element Deposi t in Quebec and the Upper Fir Tantalum -Niobium
Deposit in British Columbia.
For more information, please visit the corporate website at www.commerceresources.com or
email [email protected].
On Behalf of the Board of Directors
COMMERCE RESOURCES CORP.
“Chris Grove”
Chris Grove
President and Director
Tel: 604.484.2700
Email: [email protected]
Web: http://www.commerceresources.com
Neither 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 Statement Regarding Forward-Looking Statements
This news release includes certain “forward-looking statements” under applicable Canadian securities legislation that
are not historical facts. Forward -looking statements involve risks, unc ertainties, and other factors that could cause
actual results, performance, prospects, and opportunities to differ materially from those expressed or implied by such
forward-looking statements. Forward -looking statements in this news release include, but a re not limited to,
statements with respect to the expectations of management regarding the proposed Offering, the expectations of
management regarding the use of proceeds of the Offering, closing conditions for the Offering, the expiry of hold
periods for securities distributed pursuant to the Offering, and Exchange approval of the proposed Offering. Although
the Company believes that the expectations reflected in the forward -looking information are reasonable, there can be
no assurance that such expectations will prove to be correct. Such forward-looking statements are subject to risks and
uncertainties that may cause actual results, performance or developments to differ materially from those contained in
the statements including that: the Company may not c omplete the Offering on terms favorable to the Company or at
all; the Exchange may not approve the Offering; the proceeds of the Offering may not be used as stated in this news
release; the Company may be unable to satisfy all of the conditions to the Clos ing; and those additional risks set out
in the Company’s public documents filed on SEDAR at www.sedar.com. Although the Company believes that the
assumptions and factors used in preparing the forward -looking statements are reasonable, undue reliance should not
be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that
such events will occur in the disclosed time frames or at all. Except where required by law, the Company disclaims
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any intention or obligation to update or revise any forward-looking statement, whether as a result of new information,
future events, or otherwise.