Metanor Resources announces $10M financing led by Kirkland Lake Gold

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By CPE News

Val-D’or, QC (pcJ News Briefs) – Metanor Resources Inc. (TSX-V: MTO) intends to complete a private placement of up to 142,857,142 units on a pre-consolidated basis at a price of $0.07 per unit for gross proceeds of up to $10,000,000

Kirkland Lake Gold Ltd. will acquire up to 103,571,429 units for gross proceeds of $7,250,000.

In addition, funds managed by Wexford Capital LP will be subscribing for 18,750,000 units for gross proceeds in the amount of $1,312,500. Upon completion of the offering, Wexford will hold 14.2% of the issued and outstanding Shares on a non-diluted basis and 19.9% on a partially diluted basis.

Each unit will consist of one common share and one-half of one common share purchase warrant with each whole warrant entitling the holder to purchase one common share at a price of $0.09 for a period of 24 months following closing (on a pre-consolidation basis).

“We are pleased and excited to welcome Kirkland Lake Gold as a strategic investor. We believe that this investment confirms the strong growth potential at both the Bachelor and Barry projects. This investment will allow Metanor to better exploit its current resources and build for the future. It is also pleasing to see that one of our current strategic shareholders, Wexford Capital LP, continues to support Metanor with their participation in this financing,” said Ghislain Morin, President & CEO of Metanor Resources.

photo credit: Metanor Resources