Kootenay Silver To Conduct $5.0 Million Private Placement
Kootenay Silver (TSXV: KTN) has entered an agreement with Mackie Research to conduct a best efforts private placement, for gross proceeds of $5.0 million. The financing will be conducted at a price of $0.40 per unit, with Mackie serving as lead agent and sole bookrunner on behalf of a syndicate of agents.
Under the terms of the financing, each unit will consists of one common share and one half common share purchase warrant. Each warrant is exercisable at a price of $0.55 per common share for a period of two years from issuance.
A total of 12,500,000 units are expected to be issued in connection with the offering. The agents also have an option for an over-allotment of up to 15% of the total value of the financing. Proceeds from the financing are to be used for working capital and other general corporate purposes.
The offering is expected to close by August 20, 2020.
The financing follows the recent results from drilling at Kootenay’s Copalito silver project in Sinaloa State, Mexico. There, the company intersected 1,322 grams per tonne silver equivalent over 3.2 meters.
Kootenay Silver last traded at $0.46 on the TSX Venture.
Information for this briefing was found via Sedar and Kootenay Silver. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.
