Esperanza Resources, Sprott commit to purchase C$5.5 million
By Angela McDaniels
Tacoma, Wash., Feb. 27 - Global Minerals Ltd. increased the size of its non-brokered private placement of units to C$11.5 million from C$8 million. The placement priced on Friday.
The company now intends to sell up to 25,555,555 units for C$0.45 each, according to a company news release. The amount of units was increased from 17.8 million.
Each unit will consist of one common share and one warrant. Each warrant is exercisable for one share at a price of C$0.75 for two years. The strike price is a 61.3% premium to the company's closing share price on Thursday, C$0.465.
The company can accelerate the expiration of the warrants if the daily volume-weighted average trading price of its shares exceeds C$0.90 for 10 consecutive trading days.
Esperanza Resources Corp. has committed to purchase C$1.5 million of the units. Esperanza, affiliates of Sprott Inc. and clients of Sprott Private Wealth have together committed to purchase C$5.5 million of the units.
The proceeds will be used to further the development of the Strieborna project and for general working capital.
Global Minerals is a Vancouver, B.C.-based exploration and development company focused on developing its silver, copper, antimony deposit in Slovakia.
| Issuer: | Global Minerals Ltd.
|
| Issue: | Units of one share and one warrant
|
| Amount: | C$11.5 million
|
| Units: | 25,555,555
|
| Price: | C$0.45
|
| Warrants: | One per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$0.75
|
| Agent: | Non-brokered
|
| Investors: | Esperanza Resources Corp. (for C$1.5 million); Sprott Inc. and Sprott Private Wealth (for C$4 million)
|
| Pricing date: | Feb. 24
|
| Upsized: | Feb. 27
|
| Stock symbol: | TSX Venture: CTG
|
| Stock price: | C$0.47 at close Feb. 24
|
| Market capitalization: | C$43.18 million
|
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