Focus Graphite Announces Increase to Previously Announced Non-Brokered Private Placements of Flow-Through Units
19 12월 2020 - 7:33AM
Focus Graphite Inc. (TSXV: FMS) (the “
Company” or
“
Focus Graphite”) is pleased to announce that it
has increased the gross proceeds for the flow-through portion of
its previously announced non-brokered private placement of up to
10,000,000 units (“
Flow-Through Units”) for gross
proceeds of $500,000 (the “
Initial Offering”). The
Company has increased the Initial Offering to 20,000,000
Flow-Through Units at $0.05 per Flow-Through Unit for gross
proceeds of up to $1,000,000 to accommodate investor demand (the
“
Offering”).
Each Flow-Through Unit consists of one Common
Share issued on a flow-through basis (a “Flow-Through
Share”) and one Warrant. Each Warrant issued as part of
the Flow-Through Unit will entitle the holder thereof to acquire
one Common Share, which is not a Flow-Through Share, at an exercise
price per Common Share of $0.055 for a period of 24 months from the
Closing Date.
The Company may pay finder's fees equal to 7% of
the gross proceeds from a portion of the financing in cash, and 7%
finders warrants equal to the number of units sold based on the
same terms and in accordance with the policies of the TSX Venture
Exchange.
The Company further announces the closing of the
first tranche of the Offering for gross proceeds of $350,000. The
Company issued 7,000,000 Flow-Through Units.
An insider of the Company participated in the
closing of the Offering’s first tranche and subscribed for an
aggregate of 4,000,000 Flow-Through Units representing an aggregate
amount of $200,000. Participation of insiders of the Company in the
Offering constitutes a "related party transaction" as defined under
Multilateral Instrument 61-101 - Protection of Minority Security
Holders in Special Transactions (“MI 61-101”). The
Offering is exempt from the formal valuation and minority
shareholder approval requirements of MI 61-101 as neither the fair
market value of securities being issued to insiders nor the
consideration being paid by insiders will exceed 25% of the
Company's market capitalization. The Company did not file a
material change report 21 days prior to the closing of the Offering
as the details of the participation of insiders of the Company had
not been confirmed at that time.
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
Forward Looking Information
This news release may contain certain
forward-looking information and statements, including without
limitation, the closing of the Offerings, statements pertaining to
the use of proceeds, and the Company's ability to obtain necessary
approvals from the TSX Venture Exchange. All statements included
herein, other than statements of historical fact, are
forward-looking information and such information involves various
risks and uncertainties. There can be no assurance that such
information will prove to be accurate, and actual results and
future events could differ materially from those anticipated in
such information. A description of assumptions used to develop such
forward-looking information and a description of risk factors that
may cause actual results to differ materially from forward-looking
information can be found in Focus Graphite's disclosure documents
on the SEDAR website at www.sedar.com. The Company does not
undertake to update any forward-looking information except in
accordance with applicable securities laws.
About Focus Graphite
Focus Graphite Inc. is an advanced exploration
company with an objective of producing flake graphite concentrate
at its wholly owned Lac Knife flake graphite deposit located 27 km
south of Fermont, Québec. In a second stage, to meet Quebec
stakeholder interests of transformation within the province and to
add shareholder value. Focus is evaluating the feasibility of
producing value added graphite products including battery-grade
spherical graphite.
Focus Graphite is a technology-oriented graphite
development company with a vision for building long-term,
sustainable shareholder value. Focus also holds a significant
equity position in graphene applications developer Grafoid Inc.
For more information about Focus Graphite,
please visit www.focusgraphite.com.
Focus Graphite Investor
Contact:
Scott Anderson
Investor Relations
(858) 229-7063
sanderson@nextcap-ir.com
Focus Graphite Inc.
Judith Mazvihwa-MacLean
CFO
(613) 581-4040
jmazvihwa@focusgraphite.com
Focus Graphite (TSXV:FMS)
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