Edison Cobalt Corp. Closes Private Placements
![Edison Cobalt Corp. Closes Private Placements](https://www.minenportal.de/media/goldseiten-news.jpg)
Each FT unit consisted of one common share and one warrant. Each warrant entitles the holder to acquire one common share of the company at a price of $0.24 per common share for a period of 24 months following the date of issuance.
Each non-FT unit consisted of one common share and one warrant. Each warrant entitles the holder to acquire one common share of the company at a price of $0.18 per common share for a period of 24 months following the date of issuance.
In connection with the Offering, the Company paid finders' fees of $208,114.20 in cash and issued 1,494,510 finders warrants. The Finders' Warrants have the same terms as the Warrants forming part of the non FT Units.
Proceeds of the private placement will be used for work on the Company's mineral properties, future acquisitions and general working capital. The Company intends to use the proceeds from the flow-through portion of the private placement to incur eligible Canadian Exploration Expenses and flow-through mining expenditures, as defined under the Income Tax Act (Canada).
An insider of the company, Nathan Rotstein, acquired 500,000 of the flow-through units. The issuance of Units to insiders of the Company pursuant to the Offering will be considered related party transactions within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (MI 61-101). The Company intends to rely on exemptions from the formal valuation and minority approval requirements of sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of such insider participation, based on a determination that the fair market value of the participation in the Offering by insiders will not exceed 25% of the market capitalization of the Company, as determined in accordance with MI 61-101. The Corporation did not file a material change report more than 21 days before the expected closing of the Private Placement because the details of the participation therein by related parties of the Corporation were not settled until shortly prior to the closing of the Private Placement and the Corporation wished to close on a expedited basis for business reasons.
All securities to be issued pursuant to the above private placements are subject to a four-month hold period expiring on September 08, 2021, in accordance with applicable securities legislation.
About Edison Cobalt Corp.
Edison Cobalt Corp. is a Canadian-based junior mining exploration company focused on the procurement, exploration and development of cobalt, lithium and other energy metals. Edison Cobalt Corp.'s acquisition strategy focuses on acquiring affordable, cost-effective and highly regarded mineral properties in areas with proven geological potential. The Company is looking to build a portfolio of quality assets capable of supplying critical materials to the battery industry. The Company intends to capitalize on and have its shareholders benefit from the renewed interest in the battery metals space.
On behalf of the Board of Directors:
"Nathan Rotstein"
Nathan Rotstein
Chief Executive Officer, Director
For more information please contact:
Tel: (416) 526-3217
Email: info@edisoncobalt.com
Website: www.edisoncobalt.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.