VANCOUVER, British Columbia, Nov. 28, 2019 (GLOBE NEWSWIRE) — Brixton Metals Corporation (the “Company“) (TSXV: BBB) (OTCQB: BBBXF) is pleased to announce the closing of its previously announced private placement on November 6, 2019 of common shares and flow-through common shares of the Company for gross proceeds of $1,697,079.92 (the “Private Placement“) through the issuance of 6,987,833 flow-through shares (“FT Shares”) of the Company at $0.24 per flow-through share and 100,000 common shares (“Common Shares”) of the Company at $0.20 per common share (collectively, the “Securities”) to investors in Canada (the “Investors”), conditionally approved by TSX Venture Exchange (“TSX-V”).
As consideration for the services provided to the Company by certain finders (a “Finder”) in connection with the Private Placement, the Company shall pay a finders’ fee of 7.0% of the gross proceeds received from the sale of the Securities in the Private Placement payable in cash and common share purchase warrants (“Finder’s Warrants”) equal in number to 7.0% of the number of Securities sold to persons introduced to the Company by the Finders, with each Finder Warrant entitling the Finder to acquire a common share (a “Finder’s Warrant Share”) for a period of 24 months from Closing (“Finder Warrant Expiry Date”), at a price of $0.24 per Finder Warrant Share. The total finders fees in aggregate are $117,115.59 and a total of 489,147 Finder’s Warrants. Finders in connection with the Private Placement included Red Cloud Securities, Mine Equities Ltd., Leede Jones Gable Inc., Canaccord Genuity Corp., EMD Financial Inc., and Accilent Capital Management Inc.
Chairman and CEO of Brixton Metals, Gary R. Thompson stated, “With this additional financing complete the Company will be in a strong position moving into 2020, allowing us to advance select high-impact projects.”
The proceeds from the Private Placement will be used for exploration activities on the Company’s projects in Canada. The Securities issued pursuant to the Private Placement will be subject to a statutory hold period of four months and one day expiring from the closing date of the Private Placement. The Company may close additional tranches of FT Shares if market interest and demand materializes.
This news release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent U.S. registration or an applicable exemption from U.S. registration requirements.