Golden Arrow Resources Corporation (TSXV: GRG | FSE: G6A | OTCQB: GARWF) has closed the first tranche of a previously announced non-brokered private placement offering through the issuance of 16.89M units at C$0.05 each for aggregate gross proceeds of C$844,500.
Each unit consists of one share and one transferrable share purchase warrant. Each warrant will entitle the holder thereof to purchase one additional share at C$0.10 each for three years from the date of issue expiring on 6 February 2027.
Finder’s fees of C$23,240 are payable in cash on a portion of the private placement to parties at arm’s length to the company. In addition, 464.8K non-transferable finder’s warrants are issuable. Each finder’s warrant entitling a finder to purchase one share at a price of C$0.10 each for three years from the date of issue, expiring on 6 February 2027.
The company’s flagship San Pietro IOCG Project in Chile is funded to support a resource delineation program through the recently announced option agreement. The proceeds of this offering will provide funds for other early-stage exploration work in Argentina as well as the necessary funds for general working capital.
Certain insiders of the company participated in the private placement for C$30,000 in units. Such participation represents a related-party transaction under MI 61-101, but the transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of the subject matter of the transaction, nor the consideration paid, exceed 25% of the company’s market capitalization.
This offering is subject to regulatory approval and all securities to be issued pursuant to the offering are subject to a four-month hold period under applicable Canadian securities laws expiring on 6 June 2024. The proceeds of the offering will be used for general working capital and exploration on its properties in Argentina.
For further information, please visit: www.goldenarrowresources.com
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