Sable announces launch of early warrant exercise incentive program
Sable announces launch of early warrant
exercise incentive program
NOT FOR DISTRIBUTION TO
UNITED STATES
NEWSWIRE SERVICES OR FOR
DISSEMINATION IN
THE UNITED STATES
TORONTO
,
Aug. 27, 2018
/CNW/ - Sable Resources Ltd. (TSXV:SAE) ("
Sable
" or the "
Company
")
is pleased to announce a warrant exercise incentive program (the "
Program
") designed to
encourage the early exercise of up to 27,205,500 of its outstanding unlisted warrants (the
"
Warrants
") exercisable for common shares of the Company ("
Common Shares
"). The Warrants
are currently exercisable at a price of
$0.25
per Common Share until
September 8, 2019
.
Under the Program, the Company is offering an inducement to each Warrant holder that exercises
their Warrants prior to
September 12, 2018
(the "
Early Exercise Period
"), by the issuance of one-
half of one additional share purchase warrant for each warrant early exercised. Each new warrant
(the "
Incentive Warrant
") will entitle the holder to purchase one additional Common Share for a
period of 36 months from the date of issuance of such Incentive Warrant, at a price of
$0.35
. The
Program will commence today,
August 27, 2018
, at
9:00 a.m.
(
Toronto
time) and expire on
September 12, 2018
, at
5:00 p.m.
(
Toronto
time) (the "
Early Exercise Expiry Date
"). The Incentive
Warrants will be subject to a four month hold period from the date of issuance.
If all of the Warrants are exercised during the Early Exercise Period, Sable expects to:
Receive gross proceeds of approximately
$6.8 million
on or before the Early Exercise Expiry
Date;
Issue approximately 27,205,500 common shares pursuant to the exercise of the Warrants by
holders in accordance with the original terms of the Warrants; and
Issue approximately 13,602,750 Incentive Warrants to Warrant holders pursuant to the early
exercise of the Warrants on or before the Early Exercise Expiry Date.
The terms and conditions of the Program and the method of exercising Warrants pursuant to the
Program are set forth in a letter which is being mailed to the registered address of each Warrant
holder, posted on SEDAR and is available on the Company's website at
www.sableresources.com
.
Holders of Warrants who elect to participate in the Program will be required to deliver the following
to the Company on or prior to
5:00 p.m.
(
Toronto
time) on
September 12, 2018
:
i.
a duly completed and executed Exercise Form, in the form which accompanies the certificate representing the Warrants;
ii.
the original certificate representing the Warrants being exercised; and
iii.
the applicable aggregate exercise price payable to the Company by way of certified cheque, money order, bank draft, or wire transfer in lawful money of Canada.
To the extent that holders of the Warrants take advantage of the opportunity to exercise their
Warrants early, this will strengthen Sable's current cash position and provide the Company with
adequate working capital to complete its upcoming exploration programs in
Mexico
and
Argentina
.
The transaction is subject to the receipt of all final regulatory approvals, including the approval of the
TSX Venture Exchange. Any Warrants that are not exercised prior to the Early Exercise Expiry Date
will remain outstanding and continue to be exercisable for Common Shares on their existing terms.
The Warrants were originally issued by the Company as part of a unit of the Company in connection
with a private placement financing completed on
September 8, 2017
. The underlying Common
Shares and Incentive Shares to be issued pursuant to the exercise of the Warrants have not been,
and will not be, registered under the U.S. Securities Act or any U.S. state securities laws, and may
not be offered or sold in
the United States
or to, or for the account or benefit of,
United States
persons absent registration or any applicable exemption from the registration requirements of the
U.S. Securities Act and applicable U.S. state securities laws. This press release does not constitute
an offer to sell or the solicitation of an offer to buy securities in
the United States
, nor in any other
jurisdiction.
About Sable Resources Ltd.
Sable owns numerous mineral projects in
British Columbia, Canada
,
Mexico
, and
Argentina
including
142 square kilometers of mineral tenure and mining leases in the Toodoggone mining district of
north-central
British Columbia
which hosts the past-producing Baker and Shasta mines, and the 250-
ton-per-day Baker mill and tailings facility. In addition to that, Sable's activity in
Argentina
includes
developing the Don Julio high sulphidation epithermal project in the
San Juan Province
.
SOURCE
Sable Resources Ltd.
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%SEDAR: 00008665E
For further information:
Tom Obradovich, President & Chief Executive Officer,
[email protected], Tel (416) 985-7140, www.sableresources.com
CO: Sable Resources Ltd.
CNW 07:00e 27-AUG-18