Zephyr announces private placement
Zephyr announces private placement
Trading Symbol: TSX-V: ZFR OTC:ZPHYF
Shares Outstanding: 34,359,761
HALIFAX
,
Feb. 17, 2017
/CNW/ - Zephyr Minerals Ltd. ("Zephyr" or the "Company") (TSX-V: ZFR) announces that it has arranged a non
brokered private placement
financing of
$184,000
comprising the sale of 575,000 units at a price of
$0.32
per unit (the "Private Placement"). Each unit consists of one common share and
one-half of one common share purchase warrant. Each whole warrant entitles the holder to acquire one common share at an exercise price of
$0.42
per common
share at any time on or before the 24-month anniversary of the closing of the Private Placement. There are no commissions or finder's fees in connection with the
Private Placement.
OakRun Precious Metals Fund Ltd. ("OakRun"), will subscribe for the full 575,000 units, resulting in an ownership of 11,000,000 shares or 31.5% of the Company.
Mr.
Scott Rhodenizer
is Investment Manager for OakRun, and a Director of Zephyr.
Net proceeds from the funds raised will be used to advance the Dawson Gold Project in
Colorado, USA
, and for general working capital purposes. All shares and
warrants will be subject to a four-month hold period. The Private Placement is subject to acceptance by the TSX Venture Exchange.
The Private Placement is exempt from the formal valuation and shareholder approval requirements contained in Multilateral Instrument 61-101
Protection of
Minority Security Holders in Special Transactions
as Zephyr's securities are not listed or quoted on the Toronto Stock Exchange, Aequitas NEO Exchange Inc.,
the New York Stock Exchange, the American Stock Exchange, the NASDAQ Stock Market, or a stock exchange outside of
Canada
and
the United States
other
than the Alternative Investment Market of the London Stock Exchange or the PLUS markets operated by PLUS Markets Group plc; the amount invested OakRun
will be less than
$2,500,000
, and Zephyr has one or more independent directors in respect of the Private Placement who are not employees of Zephyr; and, at
least two-thirds of such directors have approved the Private Placement. Zephyr's material change report in relation to the Private Placement is not expected to be
filed at least 21 days before the closing of the Private Placement as the terms of the Private Placement are not materially different from the terms of other recent
private placements completed by Zephyr.
About Zephyr Minerals Ltd.
Zephyr Minerals Ltd. is a gold exploration and development company focused on advancing its flagship Dawson Gold Project in
Colorado, USA
. After completing a
positive PEA, Zephyr is continuing to advance the project though permitting, additional exploration as well as further engineering work with a plan to develop a high
grade, low cost underground gold mine.
To be included in the Zephyr email database for Company updates please contact
, or visit our website
www.zephyrminerals.com
for
more information.
Cautionary Statement:
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
The forward-looking statements contained in this document are based on certain key expectations and assumptions made by the Company, including, with
respect to the completion of the private placement and the use of funds.
Although the Company believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are not
guarantees of future performance and actual results or developments may differ
materially from those in the forward-looking statements. Material risk factors that
could cause actual results to differ materially from those reflected in the forward-
looking statements include general economic, market or business conditions, and those risks described in the Company's
most recent annual information form
and management discussion and analysis filed on SEDAR at
www.sedar.com
.
SOURCE
Zephyr Minerals Ltd.
To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/February2017/17/c5917.html
%SEDAR: 00030509E
For further information:
David H. Felderhof, Executive Vice President, Zephyr Minerals Ltd., T: 902 446-4189, F: 866 941-4715
CO: Zephyr Minerals Ltd.
CNW 13:08e 17-FEB-17