TGLDF - Trillium Gold Closes Brokered Private Placement of $12.95 Million
(TheNewswire)
Vancouver, British Columbia, Canada - TheNewswire - October 2,2020 - Trillium Gold Mines Inc. (" Trillium " or the" Company ") (TSXV:TGM) is pleased to announce that, further toits news releases on September 2, 2020, it has completed a brokeredprivate placement of: (i) 2,263,000 conventional units of the Company(the " Units ") at a price of $1.70 per Unit; (ii) 1,631,600 commonshares of the Company, each of which qualifies as a "flow-throughshare" (the " FTShares ") as defined in subsection 66(15) ofthe Income Tax Act (Canada) (the " Tax Act ") at aprice of $1.90 per FT Share; and (iii) 2,479,400"flow-through" units of the Company (the " FT Units ") at aprice of $2.42 per FT Unit, for aggregate gross proceeds of$12,947,288 (the " Offering ").
In addition, the Company is pleased to announce that itwill undertake a non-brokered private placement of up to $200,000 ofUnits (the " Follow-OnOffering ") in order to allow subscriberswho were not fully able to participate in the Offering due tooversubscriptions. The Units under the Follow-On Offering will beoffered at a price of $1.70 per Unit and will be subject to TSXVenture Exchange review and acceptance.
Each Unit consists of one common share in the capitalof the Company (a " CommonShare ") and one-half of one Common Sharepurchase warrant (each whole Common Share purchase warrant, a" Warrant "). Each Warrant entitles the holder thereof to acquireone Common Share at a price of $2.60 per Common Share until October 2,2022.
Each FT Unit consists of one Common Share whichqualifies as a "flow-through share" as defined in subsection66(15) of the Tax Act and one-half of one Warrant (a" FT UnitWarrant "). Each FT Unit Warrant entitlesthe holder thereof to acquire one Common Share at a price of $2.60until October 2, 2022.
The Offering was led by Eight Capital and includedEchelon Wealth Partners (together, the " Agents "). Inconnection with the Offering, the Company has paid to the Agents acash commission of $735,251. In addition, the Company issued to theAgents an aggregate of 351,766 compensation warrants of the Company(each, a " CompensationWarrant "). Each Compensation Warrantentitles the holder thereof to acquire one Common Share at an exerciseprice of $1.70 for a period of 24 months following the closing date ofthe Offering.
The Company intends to use the net proceeds of theOffering to advance the exploration projects on the Company's Red Lakeproperties, as well as for general working capital purposes.
All of the securities issued under the privateplacement are subject to a hold period under applicable Canadiansecurities laws expiring on February 3, 2021.
The securities offered have not been registered underthe United States Securities Act of 1933, as amended (the" U.S. SecuritiesAct "), or any U.S. state securities law,and may not be offered or sold in the "United States" or to"U.S. persons" (as such terms are defined in Regulation Sunder the U.S. Securities Act) absent registration under the U.S.Securities Act and all applicable U.S. state securities laws orcompliance with an exemption from such registration requirements. Thispress release shall not constitute an offer to sell or thesolicitation of an offer to buy any securities in the United States orto U.S. persons nor shall there by any sale of the securities in anystate in which such offer, solicitation or sale would beunlawful.
On Behalf of the Board of Directors of Trillium GoldMines Inc.
"Russell Starr"
President, CEO and Director
About Trillium Gold Mines Inc.
Trillium Gold Mines Inc. is a British Columbia basedcompany engaged in the business of acquisition, exploration anddevelopment of mineral properties located in the highly prospectiveRed Lake Mining District of Northern Ontario.
Forward Looking Information
Information set forth in this press release containsforward-looking statements. These statements reflect management'scurrent estimates, beliefs, intentions and expectations; they are notguarantees of future performance. The Company cautions that allforward-looking statements are inherently uncertain and that actualperformance may be affected by a number of material factors, many ofwhich are beyond the Company's control. Such factors include, amongother things: use of the net proceeds of the Offering, risks anduncertainties relating to exploration and development, the ability ofthe Company to obtain additional financing, the need to comply withenvironmental and governmental regulations, fluctuations in the pricesof commodities, operating hazards and risks, competition and otherrisks and uncertainties. Accordingly, actual and future events,conditions and results may differ materially from the estimates,beliefs, intentions and expectations expressed or implied in theforward-looking information. Except as required under applicablesecurities legislation, the Company undertakes no obligation topublicly update or revise forward-looking information.
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