Rackla Metals completes private placement financing, raising $2.99 million
Rackla Metals completes private placement financing, raising $2.99 million
Vancouver, British Columbia – April 24, 2025 – Rackla Metals Inc. (TSX-V: RAK) (the “Company”) is pleased
to report that it has closed its previously announced non-brokered private placement financing (the
“Offering”), raising total gross proceeds of $2,994,150. The Company has issued 10,640,000 charity flow-
through unit s (the “ CFT Offering”) at a price of $0.21 each for proceeds of $2,234,000 , and issued
5,605,002 hard-dollar units (the “HD Offering”) at a price of $0.15 each for proceeds of $759,750.
Each unit consist s of one common share of the Company and one -half of a warrant, with each whole
warrant entitling the holder to purchase one additional common share of the Company at a price of $0.15
for one year following the closing of the Offering. Each common share issued in the CFT Offering qualifies
as a “flow-through share” within the meaning of subsection 66(15) of the Income Tax Act (Canada).
The proceeds received by the Company under the CFT Offering will be used to incur eligible “Canadian
exploration expenses” that qualify as Canadian exploration expenses and “flow -through mining
expenditures” for the purposes of the Income Tax Act (Canada) on or before December 31, 2026 (or such
other period as may be permissible under applicable tax legislation). Such gross proceeds will be
renounced in favour of the purchasers under the CFT Offering with an effective date of not later than
December 31, 20 25, in the aggregate amount of not less than the total amount of the gross proceeds
raised under the CFT Offering.
Management proposes to use the proceeds of the Offering for conducting exploration and drilling on the
Company’s Tombstone Gold Belt properties within the Selwyn Basin in the coming year, and for continuing
investigations of additional mineral properties for acquisition. As well, proceeds from the HD Offering may
be used for general working capital and corporate purposes.
The Company has paid finder’s fees for a portion of the HD Offering consisting of cash payments totalling
$35,962.50 and 239,750 warrants which have the same terms as the unit warrants. S ecurities issued in
the Offering are subject to a resale restriction until August 24, 2025. The Offering is subject to the final
approval of the TSX Venture Exchange.
As two of the placees are deemed to be “related parties” to the Company, the Offering constitutes a
“related party transaction” within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral
Instrument 61 -101 Protection of Minority Security Holders in Special Transacti ons (“ MI 61-101”). The
Company has relied on exemptions from the formal valuation and minority shareholder approval
requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101.
About Rackla
Rackla Metals Inc. (TSX -V: RAK) is a Vancouver, Canada based junior gold exploration company. The
Company is targeting Reduced Intrusion-Related Gold Systems (RIRGS) mineralization on the southeastern
part of the Tombstone Gold Belt in eastern Yukon and w estern Northwest Territories. Management
believes that this area, which is underexplored for RIRGS deposit types, has the potential to be the next
frontier for their discovery.
1111 Melville Street, Suite 1000
Vancouver, BC V6E 3V6, Canada
www.racklametals.com
T 604.801.5432
F 604.662.8829
TF 1.888.627.9378
TSX.V: RAK
-2-
ON BEHALF OF THE BOARD
Simon Ridgway,
CEO and Director
Tel: (604) 801-5432; Fax: (604) 662-8829
Email: [email protected]
Website: www.racklametals.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this news release.
Forward-Looking Information
Certain statements contained in this news release constitute forward -looking statements within the meaning of
Canadian securities legislation. All statements included herein, other than statements of historical fact, are forward-
looking statements and inc lude, without limitation, statements about the Offering; the receipt of TSX Venture
Exchange final approval of the financing; the use of proceeds from the financing; the ability of the Company to incur
Canadian exploration expenses with the gross proceeds from the CFT Offering; the expected closing of the Offering;
the Company’s future exploration activities; and general business and economic conditions. Often, but not always,
these forward looking statements can be identified by the use of words such as “estimate”, “estimates”, “estimated”,
“potential”, “open”, “future”, “assumed”, “projected”, “used”, “detailed”, “has been”, “gain”, “upgraded”, “offset” ,
“limited”, “contained”, “reflecting”, “containing”, “remaining”, “to be”, “periodically”, or statements that events,
“could” or “should” occur or be achieved and similar expressions, including negative variations.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of the Company to be materially different from any results, performance
or achievements expressed or implied by forward-looking statements. Such uncertainties and factors include, among
others, whether final stock exchange approval to the Offering will be obtained; changes in general economic
conditions and financial markets; the Company or any joint venture partner not having the financial ability to meet
its exploration and development goals; risks associated with the results of exploration and development activities,
estimation of mineral resources and the geology, grade and continuity of mineral deposits; unanticipated costs and
expenses; and such other risks detailed from time to time in the Company’s quarterly and annual filings with securities
regulators and available under the Company’s profile on SEDAR+ at www.sedarplus.ca. Although the Company has
attempted to identify important factors that could cause actual actions, events or results to differ materially from
those described in forward -looking statements, there may be other factors that cause actions, events or results to
differ from those anticipated, estimated or intended.
Forward-looking statements contained herein are based on the assumptions, beliefs, expectations and opinions of
management, including but not limited to: that final stock exchange approval to the Offering will be obtained; that
the Company’s stated goals and planned exploration activities at its properties will be achieved; that there will be no
material adverse change affecting the Company , its properties or its securities ; and such other assumptions as set
out herein. Forward-looking statements are made as of the date hereof and the Company disclaims any obligation
to update any forward -looking statements, whether as a result of new information, future events or results or
otherwise, except as required by law. There can be no assurance that forward -looking statements will prove to be
accurate, as actual results and future events could differ materially from those anticipated in such statements.
Accordingly, investors should not place undue reliance on forward-looking statements.