Trillium Gold Looks To Raise $5.0 Million Via Brokered Offering
Trillium Gold (TSXV: TGM) is looking to raise funds as we draw closer to the spring exploration season. The firm this morning announced that it is looking to raise funds via the sale of a combination of units and flow through units.
Under the terms of the financing, the company will look to raise $5.0 million on a best efforts private placement basis. Units of the company will be sold at a price of $0.53 per each, and contain one share and one half of a purchase warrant. Flow Through units meanwhile will be sold at $0.60 per unit and contain one flow through share and one half of a purchase warrant. Finally, Charity FT units will be sold at $0.75 per each, and contain one charity flow through share and one half of a warrant.
Warrants under all three unit types will contain an exercise price of $0.80 per share and are valid for a period of two years from the date of issuance. An over-allotment option is also in play, which could expand the offering by up to $1.0 million.
Proceeds from the flow through units will be used for the purpose of the exploration of the firms Red Lake properties. Proceeds from the sale of units will be used for the same purpose, as well as for general working capital purposes.
The offering is expected to close February 28.
The firm also indicated this morning that Russell Starr, CEO of the company, will be taking on the role of Chairman of the company on an interim basis following the resignation of Robert Schafer from the role.
Trillium Gold last traded at $0.57 on the TSX Venture.
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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.