Cavan Ventures arranges $300,000 private placement

Oct 17, 2013

CAVAN ANNOUNCES FLOW-THROUGH FINANCING

Cavan Ventures Inc. has arranged a non-brokered private placement of up to five million flow-through units at a price of six cents per unit for total gross proceeds of $300,000. Each unit will comprise one flow-through common share and one non-flow-through share purchase warrant of the company. Each warrant will entitle the holder to purchase one share for a period of 24 months from the closing date at an exercise price of 10 cents per warrant share.

The company may, in its sole discretion, pay a finders’ fee to agents of the company consisting of: (i) a cash fee in an amount of 10 per cent of the proceeds raised by such finder as part of this offering, and (ii) a number of finder warrants entitling the holder thereof to purchase that number of shares of the company that is equal up to 10 per cent of the number of units placed through the finder as part of this offering. Each finder warrant will entitle the holder to purchase one share for a period of 12 months from the closing date at an exercise price of 10 cents per finder warrant.

The proceeds raised will be used for general corporate purposes and for advancing two of its 100-per-cent-owned graphite projects — the Buckingham graphite project in the Buckingham Valley area of southwestern Quebec adjacent to the old Walker mine and the Cage graphite project in Ontario adjacent to Zenyatta Ventures Ltd.’s Albany property.

The private placement is subject to the approval of the TSX Venture Exchange.

The company also announces the resignation of Lorne McCarthy as a director of Cavan Ventures. The company would like to thank Mr. McCarthy for his contributions and wishes him well in his future endeavours.

http://www.cavanventuresinc.com/news.html