Canamex Intends to Complete Equity Financing for Gross Proceeds up to $1,500,000
Vancouver, British Columbia / TNW-ACCESSWIRE / September 8, 2014 / Canamex Resources Corp. (TSX-V: CSQ) (FSE: CX6) it intends to complete a private placement for gross proceeds of up to $1,500,000 (the "Financing"), subject to acceptance by the TSX Venture Exchange. These funds will be raised by the Company issuing up to 7,142,857 Units at a price of $0.21 per Unit (the "Units"), each Unit consisting of one common share and one-half share purchase warrant, each whole warrant entitling the holder thereof to purchase one additional common share, exercisable for a period of two years from the date of issuance at a price of $0.30 per share. Proceeds will be used for exploration and development of the Company's Bruner Gold Project in Nevada, and for general working capital.
Three (3) Insiders (the "Related Parties"), will directly and/or indirectly subscribe for an aggregate of up 952,382 Units from the Financing, which will increase those Related Parties' pro rata shareholdings in the Company (the "Related Party Transaction"). All of the independent directors of the Company, acting in good faith, have determined that the fair market value of the securities being issued and the consideration paid is reasonable and, with the value of the Related Party Transaction being less than 25% of the Company's market capitalization, is exempt from the formal valuation and minority shareholder approval requirements of the Multilateral Instrument 61-101.
In addition, in accordance with an agreement the Company has with Hecla Canada Ltd. (refer to CSQ News Release dated November 19, 2012), Hecla holds a pre-emptive right so long as it holds more than 10% of Canamex's outstanding shares (on an undiluted basis). In this regard, Hecla has the right (but not the obligation) to participate in equity offerings of Canamex in order to maintain Hecla's pro-rata equity interest in Canamex.
Finders' fees may be paid in accordance with policies of TSX Venture Exchange.
ON BEHALF OF THE BOARD
SIGNED: "Greg Hahn"
Greg Hahn, President and CEO
Contact: Greg Hahn (604) 336-8612
Renmark Financial Communications Inc.
Robert Thaemlitz: rthaemlitz@renmarkfinancial.com
Henri Perron: hperron@renmarkfinancial.com
Tel.: (514) 939-3989 or (416) 644-2020
The securities referred to in this news release have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements.
This news release does not constitute an offer for sale of securities for sale, nor a solicitation for offers to buy any securities. Any public offering of securities in the United States must be made by means of a prospectus containing detailed information about the company and management, as well as financial statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
OR FOR DISSEMINATION IN THE UNITED STATES
Copyright (c) 2014 TheNewswire - All rights reserved.
