Ridgestone Mining Inc. Announces Proposed Forward Split and Private Placement Financing
Ridgestone Mining Inc. Announces Proposed Forward
Split and Private Placement Financing
Vancouver, British Columbia--(Newsfile Corp. - April 26, 2018) - Ridgestone Mining Inc. (TSXV: RMI) (the "
Company
" or
"
Ridgestone
"), is pleased to announce that the Company will be seeking approval for the forward split of its Common Shares
on a basis of two (2) post-split Common Shares for each one pre-split Common Share (the "
Forward-Split
"). As a result, for
each one Common Share currently held by a Ridgestone shareholder, the shareholder will receive one additional Common
Share. Completion of the Forward-Split is subject to the approval of the TSX Venture Exchange (the "
Exchange
"). The
Forward-Split will not affect shareholders' percentage ownership in the Company even though such ownership will be
represented by a larger number of Common Shares. As at the date hereof, there are an aggregate of 8,646,000 Common
Shares issued and outstanding. It is expected that upon completion of the Forward-Split an aggregate of approximately
17,292,000 Common Shares will be issued and outstanding, excluding any additional share issuances that may be pending, as
a result of the Financing described below.
The Company's name will not change in connection with the Forward-Split.
The Company's board of directors considers it advisable to effect the Forward-Split in order to provide the Company with
increased liquidity and flexibility to seek additional financing opportunities and/or to pursue strategic transactions.
In addition, the Company announces that it intends to complete a private placement financing for gross proceeds of up to
$1,800,000 (the "
Financing
"), which is expected to consist of 10,000,000 units, with each unit comprised of one common share
and one common share purchase warrant at a price of $0.18 per unit, on a post
Forward-Split
basis, or such other price per
unit determined by Ridgestone management in compliance with Exchange pricing regulations.
Each whole share purchase
warrant will be exercisable to acquire one common share of Ridgestone at a price of $0.25 per share for a period of thirty six
months following the closing of the Financing.
The Financing is non-brokered. Certain directors, officers and insiders of Ridgestone may participate in the Financing.
Proceeds from the Financing are expected to be used for ongoing working capital requirements relating to the Option
Transaction described below.
Completion of the Financing is subject to the Forward-Split occurring and Exchange acceptance, and all securities issued
pursuant to the Financing will be subject to a hold period of four months as required under applicable securities legislation.
Further, the Financing closing will also be conditional upon Exchange approval and closing of the previously announced an
option agreement with YQ Gold de Mexico, S. de R.L. de C.V. ("
YQ Gold
"), with respect to a proposed option ("
Option
") to
acquire a 100% interest in what is known as the gold-copper Rebeico Property (the "
Option Transaction
"). The Rebeico
Property is comprised of 6 mining concessions covering approximately 167 hectares in Sonora, Mexico.
For further information, please contact:
Erwin Wong
Chief Financial Officer and Corporate Secretary
Ridgestone Mining Inc.
Telephone: 604-377-8758
About the Company
Ridgestone Mining Inc. is engaged in the business of mineral exploration and holds an option to acquire a 100% interest in the
Cimarron Gold Property located in Nye County, Nevada, USA.
Neither 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.
This news release contains forward-looking statements or information (collectively referred to herein as "forward-looking
statements"). Such statements are subject to risks and uncertainties that may cause actual results, performance or
developments to differ materially from those contained in the statements and are not guarantees of future performance of the
Company. In this news release such statements include but are not limited to the requirement of TSX Venture Exchange
approval for the Option, the Forward-Split or the Financing. No assurance can be given that any of the events anticipated by
the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-
looking statements reflect management's current views and are based on certain expectations, estimates and assumptions
which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from
those expressed or implied by the forward-looking statements, including those described in the Company's Prospectus dated
February 9, 2018 available on
www.sedar.com
. Should one or more of these risks or uncertainties materialize, or should any
of the Company's assumptions prove incorrect, actual results may vary in material respects from those projected in the
forward-looking statements. Readers are cautioned that the foregoing list of risks, uncertainties and other factors is not
exhaustive. Unpredictable or unknown factors not discussed could also have material adverse effects on forward-looking
statements. The impact of any one factor on a particular forward-looking statement is not determinable with certainty as such
factors are dependent on other factors, and the Company's course of action would depend on its assessment of the future
considering all information then available. All forward-looking statements in this news release are expressly qualified in their
entirety by these cautionary statements. Except as required by law, the Company assumes no obligation to update forward-
looking statements should circumstances or management's estimates or opinions change.