Ms. Anita Algie reports
UNITY CLOSES PRIVATE PLACEMENT
Unity Energy Corp. has closed
its non-brokered private placement initially announced on April 8, 2016.
The company raised $445,000 through the sale of 2,225,000 units at a price of 20 cents per unit.
Each unit comprises one common share and one-half of one warrant. Each whole warrant
will be exercisable at a price of 30 cents for two years from the date of issuance. Three insiders
of the company participated in the offering and subscribed for an aggregate of 160,000 units,
representing an aggregate amount of $32,000. Participation of insiders of the company in the
offering constitutes a related party transaction as defined under Multilateral Instrument 61-101. The offering is
exempt from the formal valuation and minority shareholder approval requirements of MI 61-101
as neither the fair market value of securities being issued to insiders nor the consideration being
paid by insiders exceeded 25 per cent of the company's market capitalization. The company did
not file a material change report 21 days prior to the closing of the offering as details of the
participation of insiders of the company had not been confirmed at that time.
No finders' fees were paid in connection with this offering. TSX Venture Exchange approval was
received on April 15, 2016.
All securities issued in connection with the offering are subject to a statutory hold period of four
months plus a day from the respective date of issuance, in accordance with the applicable
The company intends to use the proceeds from the offering for general working capital and for
exploration expenditures on the company's Miller's Crossing lithium project, located in
Esmeralda county, Nevada.
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