20:55:48 EST Sat 08 Feb 2025
Enter Symbol
or Name
USA
CA



Login ID:
Password:
Save
Honey Badger Silver Inc (2)
Symbol TUF
Shares Issued 67,769,478
Close 2024-12-16 C$ 0.125
Market Cap C$ 8,471,185
Recent Sedar Documents

Honey Badger closes $715,500 first tranche of financing

2024-12-16 20:55 ET - News Release

Mr. Dorian Nicol reports

HONEY BADGER SILVER ANNOUNCES CLOSING OF FIRST TRANCHE OF NON-BROKERED PRIVATE PLACEMENT

Honey Badger Silver Inc. has closed the first tranche of the non-brokered private placement previously announced on Nov. 21, 2024, through the issuance of 4,657,692 non-flow-through (NFT) units at a purchase price of 13 cents per NFT unit and 687,500 flow-through (FT) shares at a purchase price of 16 cents per FT share, for total aggregate proceeds of $715,500.

As previously described, the company anticipates that, upon the closing of additional tranches, the offering will consist of a combination of NFT units at the NFT offering price and FT shares at the FT offering price.

Each NFT unit will consist of one non-flow-through common share of the company and one non-flow-through common share purchase warrant. Each whole warrant will entitle the holder to acquire one common share of the company for an exercise price of 18 cents per share for a period of 36 months from its date of issuance.

Each FT share will consist of one flow-through common share of the company.

The company will use the proceeds of the sale of FT shares in the offering to finance programs to advance one or more of the company's properties located in the Yukon, Northwest Territories and Nunavut that will qualify, once renounced, as flow-through mining expenditures, as that term is defined in the Income Tax Act (Canada). The company intends to use the net proceeds of the sale of the NFT units to finance programs to advance one or more of the company's properties and for general and administrative purposes.

In connection with the first tranche, the company paid aggregate cash finders' fees of $7,250 and issued 51,875 non-transferable finders' warrants to certain arm's-length finders. Each finder's warrant is exercisable to acquire one common share in the capital of the company at a price of 18 cents per share for a period of 36 months from its date of issuance.

The securities issued in connection with the offering will be subject to a four-month-and-one-day hold period. The offering is subject to certain conditions, including, but not limited to, the receipt of all necessary regulatory and other approvals, including the approval of the TSX Venture Exchange. Additional finders' fees may be payable in connection with the offering.

Insider participation

Chad Williams, non-executive chairman and director of the company, participated in the first tranche of the offering by subscribing for 2,307,692 NFT units, which constitutes a related party transaction pursuant to Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company is exempt from the requirements to obtain a formal valuation and minority shareholder approval in connection with the participation of Mr. Williams in the offering in reliance of the exemptions contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, respectively, as the fair market value of the insider participation does not exceed 25 per cent of the company's market capitalization as determined in accordance with MI 61-101. The company obtained approval by the board of directors of the company to the offering, with Mr. Williams declaring and abstaining from voting on the resolutions approving the offering with respect to his participation in the offering. No materially contrary view or abstention was expressed or made by any director of the company in relation thereto.

About Honey Badger Silver Inc.

Honey Badger Silver is a silver company. The company is led by a highly experienced leadership team with a record of value creation backed by a skilled technical team. Its projects are located in areas with a long history of mining, including the Sunrise Lake project, with a historical resource of 12.8 million ounces of silver (and 201.3 million pounds of zinc) indicated and 13.9 million ounces of silver (and 247.8 million pounds of zinc) inferred, located in the Northwest Territories, and the Plata high-grade silver project, located 165 kilometres east of Yukon's prolific Keno Hill and adjacent to Snowline Gold's Rogue discovery. The company's Clear Lake project in Yukon has a historical resource of 5.5 million ounces of silver and 1.3 billion pounds of zinc. The company also has a significant landholding at the Nanisivik mine area, located in Nunavut, Canada, which produced over 20 million ounces of silver between 1976 and 2002. A qualified person has not done sufficient work to classify the foregoing historical resources as current mineral resources and the company is not treating the estimates as current mineral resources. The historical resource estimates are provided solely for the purpose as an indication of the volume of mineralization that could be present. Additional work, including verification drilling/sampling, will be required to verify any of the historical estimates as a current mineral resources.

We seek Safe Harbor.

© 2025 Canjex Publishing Ltd. All rights reserved.