Arizona Silver Exploration Inc has announced plans to raise C$2.0 million via a non-brokered private placement offering of up to 8 million units at a price of C$0.25 per unit.
Each unit will consist of one common share and one-half of a common share purchase warrant.
Arizona Silver Exploration said, "Each warrant will entitle the holder to purchase one additional share of the company at a price of C$0.40 for five years following closing of the private placement provided, at the discretion of the company, in the event that the closing price of the company's common shares on the TSX Venture Exchange is C$0.48 or greater per share during any 10 consecutive trading day period the warrants will expire on the 30th day after the date on which the company provides notice of such accelerated expiry to the warrant holders, and the warrant holders will have no further rights to acquire any shares of the company under the warrant."
READ: Arizona Silver Exploration continues the hunt for large, high-grade targets at its projects in the US state
The company said it plans to use the proceeds of the private placement for further exploration of the Philadelphia property in Mohave County, Arizona, the advancement of other company projects, as well as for general working capital purposes.
To demonstrate continued support of the company's growth plans, certain insiders of the company will participate in the private placement.
Completion of the private placement remains subject to the approval of the Exchange, the company said.
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