Tectonic Metals Announces Live Webinar and Closing of Strategic Financing With Doyon
Tectonic Metals Announces Live Webinar and
Closing of Strategic Financing With Doyon
/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE
UNITED STATES
/
VANCOUVER
,
April 20, 2020
/CNW/ -
Tectonic Metals Inc. (TECT: TSX-V)
("Tectonic" or the
"Company") is pleased to announce that the Company has closed its
C$2.1 million
strategic financing
with Doyon, Limited ("Doyon") previously announced on
April 15, 2020
(the "Financing"). Doyon is
now Tectonic's largest, single shareholder with a 16.1% undiluted ownership and a 22.3% ownership
on a partially diluted basis.
Tectonic and Doyon CEO Live Webinar
Tectonic and Doyon are hosting a live webinar on
Tuesday, April 21
st
at
11:00 am EDT
/
8:00 am
PST
. The CEOs of both companies will be presenting and will be available to answer questions
following the presentation. Online registration and participation details are available by clicking the
following link:
https://bit.ly/2xiiJS0
For those unable to participate, a recording of the webinar will be posted to the Company's website,
www.tectonicmetals.com
, following the live broadcast.
The Financing and Pre-Emptive Right to Maintain
Doyon purchased 10,473,000 units of Tectonic for a subscription price of
C$0.20
per unit. Each unit
is comprised of one common share of Tectonic and one-half common share purchase warrant (each
whole warrant, a "Warrant"). Each Warrant has an exercise price of
C$0.40
and will expire
April 17,
2022
.
The Warrants are subject to an acceleration clause whereby if the volume-weighted average trading
price of Tectonic's common shares on the TSX Venture Exchange (the "TSXV") is
C$0.56
or greater
for a period of ten (10) consecutive trading days (whether or not trading occurs on all such days),
Tectonic has the right to accelerate the expiry date of the Warrants to thirty (30) days from the date
of issuance of a news release by Tectonic announcing the accelerated exercise period.
Doyon has agreed not to exercise any Warrants if as a result of such exercise it causes Doyon to
hold more than 19.99% of the total outstanding common shares of Tectonic, together with all other
common shares beneficially held by Doyon, directly or indirectly, unless and until the shareholders of
Tectonic have passed a resolution approving such exercise of the Warrants in accordance with the
applicable rules and policies of the TSXV.
Doyon was granted a pre-emptive right to maintain its pro-rata interest for as long as Doyon owns
more than 10.0% of the common shares of Tectonic (calculated on a partially diluted basis).
The Company intends to use the proceeds from the Financing for general working capital.
The securities issued pursuant to the Financing are subject to a statutory hold period expiring
August
18, 2020
in accordance with applicable securities law and the policies of the TSXV.
About Doyon
With more than 12.5 million acres of land and over 20,000 shareholders, Doyon is the largest private
landholder in
Alaska
and one of the largest in
North America
. Doyon's mission is to continually
enhance their position as a financially secure Native Corporation and promote the economic and
social well-being of their shareholders and future shareholders. They focus on strengthening the
Native way of life and protecting and enhancing their land and resources.
About Tectonic
Tectonic Metals Inc. is a mineral exploration company created and operated by an experienced and
well-respected technical and financial team with a track record of wealth creation for shareholders.
Key members of the Tectonic team were involved with Kaminak Gold Corporation, the Company that
raised
C$165 million
to fund the acquisition, discovery and advancement of the Coffee Gold Project
in the
Yukon Territory
through to the completion of a bankable feasibility study before selling the
multi-million-ounce gold project to Goldcorp Inc. (now Newmont Goldcorp) for
C$520 million
in 2016.
Tectonic is focused on the acquisition, exploration, discovery and development of mineral resources
from district-scale projects in politically stable jurisdictions that have the potential to host world-class
orebodies.
Whether at home or at work, the Tectonic team is grounded on the following core values: passion,
integrity, patience, focus, perseverance, honesty, fairness, accountability, respect and a play big
mindset. The Company works for its shareholders and is committed to creating value for them.
This news release does not constitute an offer to sell, solicitation or offer to buy nor shall there be
any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be
unlawful, including any of the securities in
the United States of America
. The securities have not
been and will not be registered under the United States Securities Act of 1933, as amended (the
"
1933 Act
") or any state securities laws and may not be offered or sold within
the United States
or
to, or for account or benefit of, U.S. Persons (as defined in Regulation S under the 1933 Act)
unless registered under the 1933 Act and applicable state securities laws, or an exemption from
such registration requirements is available
.
On behalf of Tectonic Metals Inc.
Tony Reda
President and Chief Executive Officer of Tectonic Metals Inc.
For further information about Tectonic Metals Inc. or this news release, please visit Tectonic's
website at
www.tectonicmetals.com
or contact
Tony Reda
, President & CEO of Tectonic, at toll-
free 1.888.858.9887 or by email at
.
Follow Tectonic Metals on LinkedIn, Facebook, Twitter and Instagram
Cautionary Note Regarding Forward-Looking Statements
Certain information in this news release constitutes forward-looking information and statements
under applicable securities law. Any statements that are contained in this news release that are not
statements of historical fact may be deemed to be forward-looking statements. Forward-looking
statements are often identified by terms such as "may", "should", "anticipate", "expect", "intend"
and similar expressions and include, but are not limited to, statements with respect to the
Company's use of proceeds. Forward-looking information is not a guarantee of future performance
and is based upon estimates and assumptions of management at the date the statements are
made. Many assumptions are based on factors and events that are not within the control of
Tectonic, and there is no assurance they will prove to be correct.
Although Tectonic considers these beliefs and assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect, and the forward-looking statements in this
release are subject to numerous risks, uncertainties and other factors that may cause future results
to differ materially from those expressed or implied in such forward-looking statements. Forward-
looking statements necessarily involve known and unknown risks as identified under the heading
"Risk Factors" in Tectonic's Annual Information Form dated
April 13, 2020
as filed on SEDAR at
www.sedar.com
.
Readers are further cautioned not to place undue reliance on forward-looking statements as there
can be no assurance that the plans, intentions, or expectations upon which they are placed will
occur. Such information, although considered reasonable by management at the time of
preparation, may prove to be incorrect and actual results may differ materially from those
anticipated. Forward-looking statements contained in this news release are expressly qualified by
this cautionary statement. Although Tectonic 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. Tectonic does not undertake to update any
forward-looking information, except in accordance with applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy
or accuracy of this release.
SOURCE
Tectonic Metals Inc.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/April2020/20/c9255.html
%SEDAR: 00045228E
CO: Tectonic Metals Inc.
CNW 08:30e 20-APR-20