Mr. John O'Donnell reports
ENEREV5 METALS ANNOUNCES NEW BROKERED PRIVATE PLACEMENT AND COMPLETION OF FIRST TRANCHE/ TERMINATION OF PRIOR PLACEMENT
Enerev5 Metals Inc. intends to complete a brokered private placement of up to $500,000 of units, with each unit consisting of one common share of the company and one common share purchase warrant. Each warrant will entitle the holder to acquire one additional common share of the company at a price of five cents for a period of five years from the date of issue. The units are being offered on a brokered basis through IBK Capital Corp.
The company has completed a first tranche of the placement with the issue and sale of 2.1 million units at a price of five cents per unit for gross proceeds of $105,000. The company paid the agent a cash fee of $9,450 and issued to the agent 210,000 non-transferable broker warrants in connection with the completion of the first tranche. Each broker warrant entitles the holder to acquire one unit of the company (having the same terms as those issued in the first tranche) at a price of five cents until Sept. 23, 2027. IBK Capital Corp. acquired all units sold in the first tranche and is a connected issuer and related issuer of the company as defined in Canadian securities legislation by virtue of the ownership of securities of the company by its directors and officers.
Net proceeds from the first tranche will be used for working capital and other general corporate purposes. All securities issued in the first tranche are subject to a four-month hold period to Jan. 24, 2023.
The company is continuing to pursue the completion of the balance of the private placement.
The company also announces that its prior private placement of units announced on Aug. 4, 2022, to raise gross proceeds of up to $250,000 has been terminated. As previously announced, the company completed one tranche of that placement for gross proceeds of $80,000.
About Enerev5 Metals Inc.
Enerev5 is a Canadian resource company which has been focusing on exploration and development potential, related to energy metals such as cobalt, copper and other strategic battery minerals, as well as other net-zero-related assets.
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