Standard Uranium Ltd (TSX-V:STND, OTCQB:STTDF, FRA:9SU0) announced that it has completed its previously announced financing, raising gross proceeds of approximately $900,000 through a listed issuer financing exemption offering.
The company said it issued 9 million units at a price of $0.10 per unit. Each unit consisted of one common share and one-half of one common share purchase warrant.
Each whole warrant entitles the holder to purchase one additional common share at $0.15 for a period of 36 months following the closing date, beginning 61 days after issuance.
The warrants are subject to an accelerated expiry provision. If, after the initial 61-day period, the company’s common shares trade at or above $0.30 for 10 consecutive trading days on the TSX Venture Exchange or another trading market, the company may accelerate warrant expiry.
In that event, warrant holders would receive notice and the warrants would expire five days after a corresponding press release, during which time they may still be exercised.
Standard Uranium said net proceeds from the offering will be used primarily for exploration work at its Davidson River project, as well as for general working capital purposes.
In connection with the closing, the company paid a finder’s fee of $54,000 and issued 540,000 non-transferable finder’s warrants to an arm’s-length party that assisted in introducing subscribers. The finder’s warrants carry the same terms as the offering warrants and are subject to a statutory hold period.