MAS Gold Corp (TSX-V:MAS, OTCQB:MSGCF) has announced a non-brokered private placement of a minimum of $2 million and up to a maximum of $3 million through the sale of units at a price of $0.10 each.
The company said it intends to use the net proceeds from the offering to assist it in advancing its portfolio of prospective projects as well as working capital requirements and other general corporate purposes.
Each unit in the offering consists of one common share and one common share purchase warrant. Each warrant is exercisable to acquire one common share at a price of $0.20 for 24 months after the closing of the offering, subject to early expiry if, commencing four months after the closing of the offering, the daily volume-weighted average trading price of the common shares exceeds $0.30 for ten consecutive trading days.
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The units to be issued under the offering will be offered by way of private placement in each of the provinces of Canada, and such other jurisdictions as may be determined by MAS Gold, in each case, under applicable exemptions from the prospectus requirements under applicable securities laws.
The offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto Venture Exchange (TSXV).
The securities issued via the offering will be subject to a statutory four-month restricted resale period. MAS Gold will pay finder's fees on a portion of the offering in accordance with applicable securities laws and the policies of the TSXV.
MAS Gold advised that insiders of the company may participate in the offering, which will be completed under available related party exemptions under MI 61-101.
MAS Gold Corp. is a Canadian mineral exploration company focused on exploration projects in the prospective La Ronge Greenstone Belt of Saskatchewan. In the belt, MAS Gold Corp. operates the Greywacke, North Lake and Point advanced gold projects, each hosting drill-intercepted zones of gold mineralization.
Contact the author at jon.hopkins@proactiveinvestors.com