Grid Metals Corp. (TSXV: GRDM | OTCQB: MSMGF) has amended the terms of its non-brokered financing previously announced in its November press release. The company is amending the financing to also include ordinary flow-through shares as well as the previously announced special (charity) flow-through shares. The offering is unchanged and in total will be for a maximum of 30M shares. However, the offering will now consist of any combination of special and ordinary flow-through shares of the company. The ordinary flow-through shares will be priced at C$0.14 each and the special flow-through shares will be priced at C$0.18 each for aggregate proceeds of up to C$5.4M.
Each ordinary and each special flow-through share will be issued as a “flow-through share” within the meaning of the Income Tax Act (Canada). The exact number of ordinary flow-through shares and special (charity) flow-through shares sold will be determined prior to the closing of the offering.
The financing will enable qualified investors to participate in the critical metals flow-through financing to fund the exploration of Grid’s 75% owned Donner Lake Lithium Property and 100% Falcon West Lithium Property for which the company recently received an exploration drill permit.
The proceeds from the issuance of the ordinary and special flow-through shares will be used for exploration of Grid’s property portfolio in Manitoba and will be used to incur qualifying Canadian exploration expenses as defined in subsection 66.1(6) of the Canadian Income Tax Act.
The ordinary and special flowthrough shares will be eligible for the 30% Manitoba Mineral Exploration Tax Credit and will also qualify for the federal 30% Critical Mineral Exploration Tax Credit announced in the federal budget on 7 April 2022. All proceeds will be renounced in favour of the subscribers with an effective date not later than 31 December 2023, in the aggregate amount of not less than the total amount of gross proceeds raised from the issue of the ordinary and special flow-through shares.
For further information, please visit: www.gridmetalscorp.com
To read more articles like this, please visit: www.theassay.com
