Cavan Announces Closing of Flow-Through Private Placement
Suite 1220- 789 West Pender St.
Vancouver, British Columbia V6C 1H2
CAVAN ANNOUNCES CLOSING OF FLOW-THROUGH PRIVATE PLACEMENT
January 11, 2013, VANCOUVER, B.C. – CAVAN VENTURES INC. (TSX-V:CVN) (“Cavan” or the "Company”) announces that, further to its news release dated November 30, 2012, the Company has completed its non-brokered private placement of 5,700,000 flow-through units (the "Units") at a price of $0.035 per Unit for gross proceeds of $199,500 (the "Offering"). Each Unit is comprised of one flowthrough common share (a "Share") and one-half non-flow-through share purchase warrant (a "Warrant") of the Company. Each whole Warrant will entitle the holder to purchase one Share (a "Warrant Share") of the Company at an exercise price of $0.10 per Warrant Share until December 31, 2014.
The Offering was conducted pursuant to TSX Venture Exchange's (“TSXV”) Bulletin dated August 17, 2012 and extended on December 12, 2012, Private Placements – Temporary Relief From Certain Pricing Requirements (the “Temporary Relief Measures”).
There were no finders’ fees paid in connection with the Offering. All securities issued pursuant to the Offering are subject to a hold period expiring on May 1, 2013.
Use of Proceeds
The Offering was conducted to satisfy the following immediate payables due of the Company:
Advertising fees $5,040 Property related costs in Quebec $16,271.56 Existing property exploration $100,000 expenditures and payments Legal fees $5,305.33 Remuneration $13,440 Rent/office services and $59,443.11 consulting
Total 199,500.00
The Company confirms that no funds raised as part of the Offering will be used to pay any liabilities owed to any related parties of the Company.
The Offering was reviewed and approved by the Company’s disinterested board of directors.
EARLY WARNING REPORT
Soon Deuk Lee, a subscriber of the Offering (the “Subscriber”), announces that she has acquired ownership and control of 5,700,000 Units of the Company through the facilities of the TSXV at a price of $0.035 per Unit. The 5,700,000 Shares and 2,850,000 Warrants comprising the Units acquired by the Subscriber represent 12.42% of Cavan’s issued and outstanding common shares on a non-diluted basis or 17.22% of Cavan's issued and outstanding common shares, calculated on a partially-diluted basis assuming the exercise of the Subscriber’s Warrants.
The Subscriber acquired the Units for investment purposes. The Subscriber intends to evaluate the investment in Cavan and to increase or decrease his shareholdings as he may determine for investment purposes.
A copy of the early warning report being filed by the Subscriber may be obtained by contacting the Company.
Cavan Ventures Inc. is a junior exploration company actively seeking mineral opportunities for the benefit of all its stakeholders. For further information please visit us at www.cavanventures.com.
ON BEHALF OF THE BOARD _____________________________________ Peter P. Swistak, President
FOR FURTHER INFORMATION PLEASE CONTACT:
Telephone: 1-604-683-3995 Toll Free: 1-888-945-4770
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.