Mr. Joseph Kizis reports
BRAVADA GOLD CLOSES FIRST TRANCHE OF UNITS OFFERING TO EXISTING SHAREHOLDERS
Bravada Gold Corp. has closed the first tranche of its previously announced non-brokered private placement by issuing 4,524,998 units for a total of $135,750. Proceeds were mainly utilized toward Bureau of Land Management and county claim fees and partial payments on accrued accounts.
The previously announced non-brokered offering (Aug. 21, 2015) consisted of 6,666,667 units of the company at a price of three cents per unit to raise $200,000. Each unit consists of one common share without par value in the capital of the company and one common share purchase warrant. Each warrant entitles the holder to purchase one share at a price of five cents per share for five years.
The offering was made in accordance with the provisions of B.C. Instrument 45-534, exemption from prospectus requirement, for certain trades to existing security holders and in accordance with the provisions of various corresponding blanket orders and rules of other Canadian jurisdictions that have adopted the same or a similar exemption from prospectus requirement.
Subject to certain limitations discussed below, the offering is open to existing shareholders of the company until Oct. 5, 2015. Securities issued pursuant to this private placement carry a legend restricting trading of the securities until a date that is four months and one day from the date of distribution of the units.
No registration in the United States
The securities described above have not been and will not be registered under the Securities Act of 1933, as amended, or the securities laws of any state of the United States, and may not be offered or sold in the United States or to, or for the account or benefit of, any U.S. person (as defined in regulation S of the Securities Act) or person in the United States, unless an exemption from such registration requirements is available. Certain shareholders in the United States were permitted to participate in the offering upon verification by the company that such shareholders are accredited investors (as defined in regulation D of the Securities Act).
The company has set Aug. 21, 2015, as the record date for the purpose of determining existing shareholders entitled to purchase units pursuant to the existing security holder exemption. Subscribers purchasing units under the existing security holder exemption will need to represent in writing that they meet certain requirements of the existing security holder exemption, including that they were, on or before the record date, a shareholder of the company (and still are a shareholder of the company). The aggregate acquisition cost to a subscriber under the existing security holder exemption cannot exceed $15,000 unless that subscriber has obtained advice regarding the suitability of the investment and, if the subscriber is resident in a jurisdiction of Canada, such advice is obtained from a person that is registered as an investment dealer in the subscriber's jurisdiction.
President Joe Kizis commented: "We pleased that existing shareholders continue to support the company, recognizing the value of the company's portfolio of properties in Nevada, one of the world's best mining jurisdictions. Bravada has attracted partners to fund exploration and development on five of its 15 Nevada properties, and expects to attract new partners for several others over the next few months. Bravada's Wind Mountain project, for example, hosts significant indicated and inferred resources of gold and silver, and has exciting potential for new discoveries. The five currently partner-funded projects in aggregate include earn-in work expenditures of up to $6.5-million and payments to Bravada of up to $3-million plus as cash and shares, with Bravada retaining residual working or royalty interests."
We seek Safe Harbor.
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