C3 Metals Inc (TSX-V:CCCM, OTC:CARCF) has wrapped up a fully subscribed private placement financing, raising $7 million for its Jamaican and Peruvian exploration efforts.
The company arranged a non-brokered private placement, issuing 100,000,000 common shares at a price of $0.07 per share.
In Jamaica, C3 Metals is actively operating two drill rigs. The program's focus is on testing lateral and depth extensions of copper-gold mineralization within the highly prospective porphyry and epithermal belts.
Additional funds will go towards exploration and property expenses for the Jasperoide project in Peru, as well as working capital and general corporate purposes.
Share consolidation
Concurrently, the company disclosed plans to consolidate its common shares, where one post-consolidation share will replace every 13 pre-consolidation shares.
After the placement's closure, C3 Metals expects to have approximately 60,731,095 post-consolidation common shares outstanding.
C3 Metals said it anticipates that the consolidation will lead to a higher share price, potentially attracting new investors and enhancing the value of existing shares.
"We are undertaking a share consolidation from a position of strength,” CEO Dan Symons told investors in a statement.
Symons told shareholders that the company is in a strong financial position to continue its exploration program in Jamaica.
“Cleaning up the share structure is important to attract new institutional investors,” the CEO added.
“With our recent positive exploration results, combined with the news flow we expect to generate from a well-funded and extended exploration program, we believe it is the right time to consolidate our existing share structure since we are doing so from a position of strength."