Kobo Resources Announces Total Gross Proceeds of $7.4 million following Closing of Second Tranche of Non-Brokered Private Placement
NOT FOR DISTRIBUTION TO
Closing of a first tranche of the Offering (the “First Tranche”) and concurrent brokered private placement (the “Concurrent Financing”) occurred on
Each Unit consists of one common share in the capital of the
The Company intends to use the net proceeds of the Offering and the Concurrent Financing to expand its 2024 diamond drill program on its Kossou exploration permit, initiate a soil geochemical survey and a geological exploration program on the Kotobi research permit and for general corporate and working capital purposes.
As previously announced,
Prior to the closing of the Second Tranche, LGM beneficially owned, directly or indirectly, an aggregate of 2,857,143 Common Shares and 1,428,571 Warrants subscribed under the First Tranche, representing approximately 3.05% of the then issued and outstanding Common Shares on a non-diluted basis, and 4.50% of the then issued and outstanding Common Shares on a partially-diluted basis, assuming the exercise of the Warrants held by LGM only. Immediately following the closing of the Second Tranche, LGM beneficially owns, directly or indirectly, 10,225,708 Common Shares and 5,112,854 Warrants, representing 9.99% of the issued and outstanding Common Shares on a non-diluted basis, and 14.27% of the issued and outstanding Common Shares on a partially-diluted basis, assuming the exercise of the Warrants held by LGM only.
The securities of the Company beneficially owned, directly or indirectly, by LGM, are held for investment purposes. LGM has a long-term view of the investment and may acquire additional securities including either on the open market or through private acquisitions or sell the securities including either on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors.
An early warning report relating to this transaction will be filed on SEDAR+ under the Company’s profile at www.sedarplus.ca. To obtain a copy of such report, please contact
The Units were issued pursuant to the “accredited investor” or another exemption (other than the listed issuer financing exemption) from the prospectus requirements in accordance with National Instrument 45-106 – Prospectus Exemptions. The securities issued under the second tranche of the Offering are subject to a statutory hold period until
The Company paid finders’ fees in an aggregate amount of
The Units and underlying Common Shares and Warrants have not been registered under the United States Securities Act of 1933, as amended (the “
About
Founded in 1946,
About
The Company is drilling to unlock the potential size and scale of Kossou within 9+ km strike length of highly prospective gold in soil geochemical anomalies with excellent rock and trench sampling results. The Company completed ~6,000 m of RC drilling and ~5,400 m of trenching in 2023 and is planning on additional drilling and trenching in 2024. Significant gold mineralisation has been identified at three main targets within a 300 m wide, 2+ km long, pervasively altered structural corridor defining a potentially large mesothermal gold system.
Kobo’s common shares trade on the
NEITHER THE TSXV NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSXV) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Cautionary Statement on Forward-looking Information:
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, “anticipates”, “plans”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements include, but are not limited to; the proposed use of proceeds; the completion of the Company’s business objectives, and the timing, costs, and benefits thereof; development and exploration costs; the Company’s ability to complete or not its diamond drill program on the
Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; and the delay or failure to receive requisite approvals. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, the Company assumes no obligation to update the forward-looking statements.
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For further information, please contact:
Chief Executive Officer and Director
1-418-609-3587
ir@kobores.com
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