Purepoint Uranium Group Inc. Closes First Tranche of Private Placement
Purepoint Uranium Group Inc. Closes First
Tranche of Private Placement
/NOT FOR DISSEMINATION IN
THE UNITED STATES
OR THROUGH U.S. NEWSWIRE
SERVICES/
TORONTO
,
Oct. 22, 2020
/CNW/ - Purepoint Uranium Group Inc. (TSXV: PTU) ("
Purepoint
" or the
"
Company
") closes its first tranche of its non-brokered private placement (the "
Private Placement
")
previously announced on
October 13, 2020
. The Private Placement was subscribed for aggregate
gross proceeds of
$275,000
. In connection with the Private Placement, the Company issued
5,500,000 units at a price of
$0.05
per Unit. Each Unit consists of one common share in the capital
of the Company and one common share purchase warrant. Each warrant entitles its holder to
purchase one common share in the capital of the Company at an exercise price of
$0.08
per share
for a period of 24 months from the date of issuance.
In connection with the Private Placement, the Company paid finders' fees consisting of
$10,850
plus
applicable taxes in cash and issued 217,000 non-transferrable compensation warrants. Each
compensation warrant entitles its holder to purchase one common share in the capital of the
Company at an exercise price of
$0.08
per share for a period of 24 months after the date of
issuance.
The net proceeds of the Private Placement will be used for working capital purposes. All securities
issued in connection with the closing of the Private Placement are subject to a four-month hold
period pursuant to the applicable securities laws with an expiry date of
February 23
, 2021.
About Purepoint
Purepoint Uranium Group Inc. is focused on the precision exploration of its projects in the Canadian
Athabasca Basin, the world's richest uranium region. Established in the
Athabasca
Basin well before
the initial resurgence in uranium earlier last decade, Purepoint's flagship project is the Hook Lake
Project, a joint venture with two of the largest uranium suppliers in the world, Cameco Corporation
and Orano Canada Inc. The Hook Lake JV Project is on trend with recent high-grade uranium
discoveries including Fission Uranium's Triple R Deposit, NexGen's Arrow Deposit and the Hook
Lake JV's Spitfire discovery.
Neither the Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the Exchange) accepts responsibility for the adequacy or accuracy of this Press
release.
Disclosure regarding forward-looking statements
This press release contains projections and forward-looking information that involve various risks and
uncertainties regarding future events. Such forward-looking information can include without limitation
statements based on current expectations involving a number of risks and uncertainties and are not
guarantees of future performance of the Company. These risks and uncertainties could cause actual
results and the Company's plans and objectives to differ materially from those expressed in the
forward-looking information. Actual results and future events could differ materially from those
anticipated in such information. These and all subsequent written and oral forward-looking
information are based on estimates and opinions of management on the dates they are made and
expressly qualified in their entirety by this notice.
SOURCE
Purepoint Uranium Group Inc.
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For further information:
Chris Frostad, President & CEO, Phone: (416) 603-8368, Email:
CO: Purepoint Uranium Group Inc.
CNW 16:05e 22-OCT-20