Trigon Closes Second Tranche of Private Placement Financing
Trigon Closes Second Tranche of Private Placement Financing
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED
STATES
(In Canadian Dollars unless otherwise stated)
TORONTO, Oct. 13, 2020 -- Trigon Metals Inc. (TSX-V: TM) (the “Company” or “Trigon”) is pleased to announce the closing
of the second and final tranche (the “Second Tranche”) of its previously announced brokered private placement financing (the
“Offering”). In this Second Tranche, the Company issued 1,471,999 units (the “Units”) at a price of $0.35 per Unit for aggregate
gross proceeds of $515,200.
Each Unit is comprised of one common share of Trigon (each a “Common Share”) and one-half of one Common Share
purchase warrant (each whole warrant, a “Warrant”). Each Warrant entitles the holder to acquire one Common Share at a price
of $0.45 for a period of 36 months following the closing date of the Offering.
Under the initial tranche of the private placement, which closed on September 24, 2020, Trigon issued a total of 13,721,042
Units for aggregate gross proceeds of $4,802,365 (the “Initial Tranche”). Pursuant to the Initial Tranche and the Second
Tranche (together, the “Offering”), the Company has raised a total of $1,303,335.
The net proceeds of the Offering will be used to acquire additional silver-copper projects associated with the Silver Hill Project
in Morocco, for exploration on the Silver Hill Project and general corporate purposes.
The Offering was led by Cormark Securities Inc. on behalf of a syndicate of agents that included M Partners Inc. (collectively,
the “Agents”). As consideration for their services provided in connection with the Second Tranche, the Company has (i) paid
the Agents a cash commission equal to $7,728. The Company also paid an aggregate amount of $57,547.55 to other arm’s
length finders as part of the initial and Second Tranche of the Offering. All of the subscribers in the Second Tranche were on
the Company’s “President’s List”.
All of the securities issued by the Company pursuant to the Second Tranche will be subject to a four-month statutory hold
period which expires on February 14, 2021.
An insider of the Company subscribed for 70,000 Units under the Second Tranche. Each transaction with an insider of the
Company constitutes a “related party transaction” within the meaning of Multilateral Instrument 61-101 – Protection of Minority
Security Holders in Special Transactions (“MI 61-101”). The Company is relying on exemptions from the formal valuation
requirements of MI 61-101 pursuant to section 5.5(a) and the minority shareholder approval requirements of MI 61-101 pursuant
to section 5.7(1)(a) in respect of such insider participation as the fair market value of the transaction, insofar as it involves
interested parties, does not exceed 25% of the Company’s market capitalization.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United
States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended
(the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S.
Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such
registration is available.
Trigon Metals Inc.
Trigon is a publicly traded Canadian exploration and development company with its core business focused on copper and silver
holdings in mine-friendly African jurisdictions. Currently the company has operations in Namibia and Morocco. Namibia is one
of the world’s most prospective copper regions, where Trigon has substantial assets in place. The Company continues to hold
an 80% interest in five mining licences in the Otavi Mountain lands, an area of Namibia widely recognized for its high-grade
copper deposits. Within these licences are three past producing mines including the Company’s flagship property, the Kombat
Mine.
For further information, contact:
Jed Richardson
+1 416 566 8134
Cautionary Statement on Forward-Looking Information
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation.
Forward-looking information includes, without limitation, statements regarding use of proceeds from the Offering. Generally,
forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not
expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or
“believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”,
“might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks,
uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the
Company to be materially different from those expressed or implied by such forward-looking information, including but not
limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current
exploration activities; risks associated with operation in foreign jurisdictions; ability to successfully integrate the purchased
properties; foreign operations risks; and other risks inherent in the mining industry. Although the Company has attempted to
identify important factors that could cause actual results to differ materially from those contained in forward-looking
information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no
assurance that such information will prove to be accurate, as actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The
Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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.