Kenadyr Announces $1,500,000 Brokered Private Placement Led by Gravitas Securities
VANCOUVER, Aug. 14, 2019 - Kenadyr Mining (Holdings) Corp. (TSX-V: KEN, FRA: KM0) ("Kenadyr" or the "Company") has appointed Gravitas Securities Inc. ("Gravitas" and together with any sub-agents that may be appointed by Gravitas, the "Agents") to act as sole lead agent, to sell, by way of a private placement on a best efforts basis, up to 18,750,000 units of the Company (the "Units") at a price of $0.08 per Unit for gross proceeds of up to $1.5 million, subject to receipt of all applicable regulatory approvals (the "Offering"). Subject to regulatory approval, the Offering is expected to close on or about August 30, 2019, or such other date as may be agreed between the Agents and Kenadyr (the "Closing Date").
Each Unit will comprise one common share of the Company (a "Common Share") and one-half of one Common Share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to acquire one additional Common Share at a price of $0.12 for a period of 24 months from the Closing Date.
The Company intends to use the net proceeds of the offering for the exploration and development of its Borubai gold project and general working capital.
The Company will, upon the closing of the Offering and subject to compliance with all required regulatory approvals: (1) pay the Agents a commission equal to 8.0 per cent of the gross proceeds of the Offering, payable in cash or in Units at the discretion of the Agents; and (2) issue to the Agents that number of broker warrants ("Broker Warrants") equal to 8.0 per cent of the aggregate number of Units sold pursuant to the Offering. Each Broker Warrant shall entitle the holder thereof to acquire one Unit at a price of $0.08 per Unit for a period of 24 months from the Closing Date.
The Offering may be completed in multiple closings and will be subject to the receipt of all necessary regulatory approvals, and execution of definitive agreements between the Company and Gravitas. All securities issued pursuant to the Offering will be subject to a four-month hold period in accordance with applicable Canadian securities laws.
About Kenadyr Mining (Holdings) Corp.
Kenadyr is currently listed on the TSX Venture Exchange and its primary business is mineral exploration in the Kyrgyz Republic, specifically gold exploration in Borubai. Kenadyr holds all issued and outstanding securities in PIC Ala-Too, a Kyrgyz Republic company registered in Bishkek, which is the 100 per cent legal and beneficial holder of an exploration licence related to Kenadyr's Borubai project.
On behalf of the Board of Directors
Chief Financial Officer
For more information, visit www.kenadyr.com or contact Kevin Ma, CFO at email@example.com or (604) 687-7130.
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.
This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors - including the availability of funds, the results of financing efforts, the completion of due diligence and the results of exploration activities - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.