Sego closes $282,990 final tranche of financing

Aug 28, 2018

2018-08-27 18:09 ET – News Release

Mr. J. Paul Stevenson reports

SEGO RESOURCES CLOSES THIRD AND FINAL TRANCHE OF FINANCING, SUCCESSFULLY RAISING A COMBINED TOTAL OF $1,500,000 BY WAY OF PRIVATE PLACEMENTS

Sego Resources Inc. has closed the third and final tranche of the financing for total gross proceeds of $282,990 as part of the financing previously announced on April 23, 2018. In this third tranche of the financing, Sego will issue in total 1.42 million units at five cents per unit of flow-through (FT) units for gross proceeds of $71,000 and 4,239,800 units at five cents per unit of non-flow-through (NFT) units for gross proceeds of $211,990.

Combined with the previously announced first closing and second closings of the financing, Sego will issue in total 14.27 million units at five cents per unit of FT unit for gross proceeds of $713,500 and 15.73 million units at five cents per unit of NFT unit for gross proceeds of $786,500 for total combined proceeds of $1.5-million.

Each FT unit consists of one common share and one-half of one share purchase warrant. Each FT full warrant entitles the holder to purchase an additional common share at 10 cents for two years from closing of the private placement. Each NFT unit consists of one common share and one share purchase warrant. Each NFT unit warrant entitles the holder to purchase an additional common share at 10 cents for four years from the closing of the private placement. The securities issued under this third closing are subject to the applicable statutory four-month-plus-one-day hold period from the date of issuance. The closing of this third tranche is subject to regulatory approval.

The flow-through proceeds will be expended on the continued exploration of the company’s Miner Mountain copper-gold alkalic porphyry project located near Princeton, B.C. The non-flow-through proceeds will be used for working capital and general corporate purposes.

Certain finders’ fees are payable on a portion of the private placement and consist of 7 per cent in cash and 7 per cent brokers’ warrants, each broker’s warrant entitling the holder to subscribe for additional NFT unit or FT unit, as the case may be, for five cents for two years from the closing of this tranche of the private placement.

This offering is subject to the completion of formal documentation, receipt of all necessary regulatory approvals, including the TSX Venture Exchange, and other customary conditions. All of the securities sold pursuant to these offerings will be subject to a four-month hold period from the date of closing.

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

The company fully expects to spend the funds as stated; there may be circumstances, for sound business reasons, where a reallocation of funds may be necessary.

There is no material change about the issuer that has not been generally disclosed.

We seek Safe Harbor.

https://www.segoresources.com/category/rns/