Lomiko Metals arranges $750,000 in financings

Jun 22, 2016

LOMIKO METALS INC. ANNOUNCES PRIVATE PLACEMENTS

Lomiko Metals Inc. has arranged a private placement to offer up to 10 million flow-through units of the company at a price of five cents per FT unit. Each FT unit shall consist of one flow-through common share and one share purchase warrant exercisable for 36 months at 7.5 cents. In addition, the company will offer 6.25 million units of the company at a price of four cents per unit, each unit shall consist of one common share of the company and one share purchase warrant exercisable for a period of 18 months from closing at an exercise price of five cents. The company will be making an application to the TSX Venture Exchange for a waiver to the unit portion of the private placement price as the proposed subscription price is below the minimum allowed pursuant to the rules.

The funds raised from the issuance of the FT units shall be used for general exploration and/or development expenditures which will qualify as expenses under Paragraph 66 (12.66)(b) of the Income Tax Act (Canada) on the company’s property located in Quebec. The proceeds of the unit financing will primarily be used to repay outstanding loans and working capital.

Closing of the financings is subject to receipt of applicable regulatory approvals including approval of the TSX Venture Exchange. The securities issued will be subject to a standard four-month-plus-one-day hold period.

A finder’s fee will be payable by the company in accordance with the rules of the TSX Venture Exchange.

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