Strikepoint GOLD Inc. Closes $5 Million Private Placement and Welcomes Eric Sprott as Shareholder
Suite 507, 837 West Hastings Street Telephone: (604) 602-1440
Vancouver, BC, V6C 3N6 Facsimile: (604) 685-5777 www.strikepointgold.com
STRIKEPOINT GOLD INC. CLOSES $5 MILLION PRIVATE PLACEMENT AND WELCOMES
ERIC SPROTT AS SHAREHOLDER
May 3, 2017, Vancouver, BC – StrikePoint Gold Inc. (TSX.V:SKP) (“StrikePoint” or the
Company) is pleased to welcome Eric Sprott as a +10% shareholder and announce that it
has closed on its $5 -million non -brokered private placement (the “Financing”) as
previously announced on April 18, 2017.
Shawn Khunkhun, CEO of StrikeP oint remarked, “We are very pleased to have Eric
Sprott and other large, strategic institutional investors participate in th is financing. After
closing $3 M illion on April 4, 2017, this additional $5 M illion private placement has
allowed the expansion of this year’s drill program.”
The Financing consisted of 1 3,157,000 flow-through units (“FT Unit”) at an issuance
price of 38 cents per F T Unit for total proceeds of $5 -million. Each FT U nit consists of
one flow-through common share and one -half non flow-through share purchase
warrant (each whole warrant a “Warrant”) with each Warrant being exercisable at a
price of 50 cents for a period of two years from closing. T he FT Units are subject to a
hold period expiring on September 3, 2017.
In connection with the Financing, f inder's fees of $ 280,763 cash ($771.40 as to Leede
Jones Gable Inc., $6,995.80 as to PI Financial Corp., and $272,995.80 as to Medalist
Capital Ltd.) and 738,850 finder’s warrants (2,030 warrants as to Leede Jones Gable Inc.,
18,410 warrants as PI Financial Corp. and 718,410 warrants as to Me dalist Capital Ltd. )
were paid. The finder's warrants will have an exercise term of two years from issuance
with an exercise price of 38 cents and be subject to a hold period expiring on September
3, 2017.
The proceeds from the issuance of the FT Units will be used to incur Canadian
exploration expenses on the company's gold projects located in the Yukon Territory.
As a result of the Financing, Eric Sprott, through 2176423 Ontario Ltd., a corporation
which is beneficially owned by him, acquired 6,842,000 c ommon shares and 3,421,000
Warrants for total consideration of $1,999,916.60 representing approximately 11.6% of
the issued and outstanding c ommon shares of the Company on a non- diluted basis and
16.4% on a partially diluted basis. The above percentages ar e calculated based on
59,203,837 common shares issued and outstanding after giving effect to the Financing.
Prior to the Financing, Mr. Sprott did not directly or indirectly own any securities of the
Company.
The common shares and Warrants were acquired by Mr. Sprott, through 2176423
Ontario Ltd. for investment purposes. Mr. Sprott has a long-term view of the investment
and may acquire additional securities of the Company either on the open market or
Suite 507, 837 West Hastings Street Telephone: (604) 602-1440
Vancouver, BC, V6C 3N6 Facsimile: (604) 685-5777 www.strikepointgold.com
through private acquisitions or sell securities of the Co mpany either on the open market
or through private dispositions in the future depending on market conditions,
reformulation of plans and/or other relevant factors. A copy of 2176423 Ontario Ltd.’s
early warning report will appear on the Company's profile o n SEDAR and may also be
obtained by calling (416) 362 -7172 (200 Bay Street, Suite 2600, Royal Bank Plaza, South
Tower, Toronto, Ontario M5J 2J2).
The private placement is subject to approval of the TSX Venture Exchange.
ON BEHALF OF THE BOARD of STRIKEPOINT GOLD INC.
Shawn Khunkhun
CEO and Director
For more information, contact:
Shawn Khunkhun
604-602-1440
Neither the 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.