20:25:11 EDT Thu 28 Mar 2024
Enter Symbol
or Name
USA
CA



Sparton Resources Inc
Symbol SRI
Shares Issued 147,241,537
Close 2022-11-30 C$ 0.065
Market Cap C$ 9,570,700
Recent Sedar Documents

Sparton Resources arranges $500,000 private placement

2022-12-01 12:03 ET - News Release

Mr. Lee Barker reports

SPARTON ANNOUNCES PRIVATE PLACEMENT OF UP TO C$500,000

Sparton Resources Inc. has arranged a non-brokered private placement for gross proceeds of up to $500,000 from the sale of up to 6.25 million flow-through units of the company at a price of eight cents per flow-through unit. Red Cloud Securities Inc. will be acting as a finder in connection with the offering.

Each FT unit will consist of one common share of the company to be issued as a flow-through share within the meaning of the Income Tax Act (Canada) and one-half of one common share purchase warrant. Each warrant will entitle the holder thereof to purchase one common share of the company at a price of 12 cents for a period of 24 months following the issue date.

The company intends to use the proceeds of the offering for the exploration of the company's projects in Ontario and elsewhere in Canada as necessary. The gross proceeds from the issuance of the FT shares will be used to incur resource exploration expenses which will constitute Canadian exploration expenses as defined in subsection 66.1(6) of the Income Tax Act and flow-through mining expenditures as defined in subsection 127(9) of the Income Tax Act, which will be renounced with an effective date no later than Dec. 31, 2022, to the purchasers of the FT units in an aggregate amount not less than the gross proceeds raised from the issue of the FT shares. If the qualifying expenditures are reduced by the Canada Revenue Agency, the company will indemnify each subscriber of FT units for any additional taxes payable by such subscriber as a result of the company's failure to renounce the qualifying expenditures.

The closing of the offering is subject to receipt of all necessary regulatory approvals, including the TSX Venture Exchange. Finder's fees will be payable in accordance with the policies of the TSX Venture Exchange. The FT shares, warrant shares and any common shares of the company that are issuable from any finder's warrants will be subject to a hold period ending on the date that is four months plus one day following the issue date in accordance with applicable securities laws.

We seek Safe Harbor.

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