CWSFF - Cielo Announces up to $6 Million Proposed Non-Brokered Private Placement of Flow-Through Shares | Benzinga
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CALGARY, Alberta, Dec. 07, 2023 (GLOBE NEWSWIRE) -- Cielo Waste Solutions Corp. (TSXV:CMC, OTCQB:CWSFF) ("Cielo" or the "Company"), a waste-to-fuel environmental technology company, is pleased to announce that it is proposing to complete a flow-through private placement on a non-brokered basis (the "Private Placement"). The Company intends to raise up to $6 million in gross proceeds by issuing up to 150,000,000 flow-through shares (the "FT Shares") at a price of $0.04 per FT Share.
The purpose of the Private Placement is to advance Cielo's first commercial waste-to-fuels facility in Carseland, Alberta (the "Carseland Project"), which will utilize the recently acquired EGTLTM technology under exclusive license to Cielo. Each FT Share will be a common share of the Company issued as a "flow-through share" (as defined in subsection 66(15) of the Income Tax Act (Canada) (the "ITA")). The gross proceeds from the sale of FT Shares will be used by the Company to incur qualifying "Canadian renewable and conservation expenses" ("CRCE") for the Carseland Project, which will qualify as Canadian Exploration Expenses ("CEE") under the ITA and will be renounced in favour of the purchasers of the FT Shares for the 2023 tax year in an aggregate amount of not less than the gross proceeds of the Private Placement.
It is anticipated that the closing of the Private Placement will occur in one or more tranches on or before December 31, 2023. The closing of the Private Placement is subject to the receipt of all necessary regulatory approvals, including the approval of the TSX Venture Exchange (the "Exchange").
The Company anticipates that one or more officers and/or directors of the Company may participate in the Private Placement, which would constitute "related party transactions" of ...