Idaho Champion (CSE:ITKO, OTCQB:GLDRF) Gold Mines Canada Inc has announced the completion of the second and final tranche of a private placement offering, which saw the issue of 14,612,500 units for gross proceeds of C$738,786.
Combined with the first tranche, Idaho Champion raised and issued 25,691,710 units for an oversubscribed total of C$1,292,746.
The non-brokered private placement of up to 20,000,000 units was offered at a price of $0.05 per unit for gross proceeds of up to $1,000,000. Each unit consisted of one common share and one non-transferable purchase warrant. Each warrant entitles the holder to purchase one additional common share at a price of $0.10 for a period of 24 months from the date of issue.
The proceeds of the financing will be used for the funding of an exploration program at the Idaho Champion Cobalt Projects in Idaho, USA, and for general working capital purposes.
READ: Idaho Champion closes first tranche of its private placement offering, issuing 11,079,210 units for gross proceeds of C$553,960.50
In connection with the final tranche, the company paid a cash finders' fee of $34,400 and issued 688,000 finders' warrants, representing 8% cash and 8% non-transferable warrants.
Completion of the private placement and payment of any finders' fees remain subject to the receipt of all necessary regulatory approvals, including approval of the Canadian Securities Exchange ( CSE).
The participation by two of the directors of the company in the financing constitutes a "related party transaction" under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (MI 61-101).
In accordance with applicable Canadian securities laws, all securities issued pursuant to the private placement with be legended with a hold period of four months and one day from the date of issuance.
Idaho Champion is a discovery-focused exploration company that is committed to advancing its 100%-owned highly prospective mineral properties located in Idaho, United States.
The company is vested in Idaho with the Baner Project in Idaho County, the Champagne Project located in Butte County near Arco, and four cobalt properties in Lemhi County in the Idaho Cobalt Belt.
Contact the author at jon.hopkins@proactiveinvestors.com