14:25:07 EDT Thu 28 Mar 2024
Enter Symbol
or Name
USA
CA



Argex Titanium Inc
Symbol RGX
Shares Issued 172,170,621
Close 2017-02-27 C$ 0.08
Market Cap C$ 13,773,650
Recent Sedar Documents

Argex Titanium closes $1.55M first tranche of financing

2017-02-28 09:51 ET - News Release

Mr. Ross Corcoran reports

ARGEX TITANIUM HOLDS FIRST CLOSING OF PRIVATE PLACEMENT FOR $1,554,832

Argex Titanium Inc. has held a first closing of a private placement, at which it issued an aggregate of 28,793,200 units to arm's-length accredited investors at a price of 5.4 cents per unit for gross proceeds to Argex of $1,554,832. Each of the units comprises one common share and one-quarter of a common share purchase warrant; each full warrant entitles its holder to acquire one additional Argex common share at a price of 12 cents for a period of 18 months. In the event that the closing price of Argex's common shares on the Toronto Stock Exchange is at least 15 cents for a period of not less than 20 consecutive trading days, the warrants will expire, at the sole discretion of Argex, on the 30th day after the date on which Argex sends a notice in prescribed form to the holders of the warrants.

Argex will use the net proceeds from the private placement to complete detailed engineering for its titanium dioxide project, to compile data for a bankable report and for working capital.

"This financing will enable our engineering team to collect enough front-end loading (FEL) data to solidify negotiations with potential licensing and project financiers, which are already well under way," stated Mazen Alnaimi, Argex's chairman and chief executive officer. "Discussions with potential partners and financiers have been under way for some months and to date have been positive. It is management's objective to license our technology and to secure non-dilutive project financing for Argex's first full-scale production plant."

At the first closing, Argex also issued an aggregate of 819,922 broker warrants to various securities dealers representing an amount equal to 6 per cent of the number of units sold through such dealers. Each of the broker warrants entitles the holder to purchase one additional unit, comprising one common share and one-quarter of a common share purchase warrant, at a price of seven cents for a period of 18 months.

Argex expects to hold additional closings of the private placement, subject to an aggregate maximum of $4-million (74,074,074 units). Any closing for an aggregate amount greater than approximately $1,767,000 will be subject to shareholder approval under the policies of the TSX. In that regard, Argex has called a special meeting of shareholders, to be held in Montreal, Que., in early April, 2017, and expects to distribute a management information circular to shareholders shortly. The securities issued at the first closing are subject to a four-month hold period under applicable securities regulations.

About Argex Titanium Inc.

Argex Titanium has developed an advanced chemical process for the volume production of high-grade titanium dioxide for use in high-quality paint, plastics, cosmetics and other titanium dioxide applications. The corporation's unique proprietary process uses relatively inexpensive and plentiful source material from a variety of potential vendors to produce titanium dioxide, along with other valuable byproducts.

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