Giga Metals Reports Successful Completion of Second Funding Round
Giga Metals Completes Second Tranche of Private Placement
Giga Metals Corp. (TSX-V: GIGA, OTCQB: GIGGF) is thrilled to share that it has closed the second tranche of its private placement financing, following the successful first tranche earlier this month. This key financial step is vital for the company's ongoing projects.
Details of the Private Placement
The recent offering involved both flow-through units (FT Units) and hard dollar units (HD Units). In this second tranche, Giga Metals completed the sale of 555,556 FT Units at a price of $0.09 each, generating $50,000, and 1,725,000 HD Units at a price of $0.08 each for total proceeds of $138,000.
What Are FT and HD Units?
Each FT Unit consists of a flow-through common share, designated as an FT Share, and a purchase warrant referred to as an FT Warrant. Meanwhile, the HD Units include a standard common share, known as an HD Share, alongside an HD Warrant. The warrants from both types of units can be exercised at a price of $0.11 for three years, expiring in 2028.
Utilization of Funds
The proceeds from this financing will be dedicated to enhancing the Turnagain project, alongside any adjustments for other prospective Canadian properties that Giga Metals may acquire. The commitment ensures that funds from the FT Units will be utilized to cover eligible Canadian exploration expenses as stipulated by relevant tax provisions.
Finder's Fees and Warrants
In conjunction with this financing, the company has also compensated finders involved in the transaction. A total of $9,100 in cash and 108,889 finder's warrants were issued to reward those who contributed to the placement, with the finder's warrants also being exercisable into common shares.
Looking Ahead to Future Tranches
Giga Metals is preparing for the anticipated third tranche of this private placement, with an expected closing date slated for approximately two weeks from now. This future round is subject to several financing conditions remain, including necessary regulatory approvals, particularly from the TSX Venture Exchange.
Overview of Giga Metals
Incorporated in British Columbia, Giga Metals Corporation focuses on its flagship Turnagain Project, one of the few undeveloped sulphide nickel and cobalt resources globally. With a joint ownership structure alongside Mitsubishi Corporation, this subsidiary harbors significant potential for growth and resource development.
Recent Developments
The Pre-Feasibility Study on the Turnagain Project was released recently, outlining the project’s promising future. The detailed insights provided in this study indicate not only the viability of the Turnagain Project but also the profitability that can stem from both nickel and cobalt extraction.
Company Contact Information
Management at Giga Metals encourages investors and interested individuals to reach out with any inquiries. Contact information is provided below for potential investor discussions:
Office Phone: +1 (604) 681-2300
Email: info@gigametals.com
Website: www.gigametals.com
Frequently Asked Questions
What is Giga Metals Corporation?
Giga Metals Corporation is a mining company focusing on nickel and cobalt resources, particularly highlighted through its Turnagain Project.
What are the details of the recent private placement?
The company closed its second tranche, comprising both FT Units and HD Units, totaling over $188,000 in gross proceeds.
How will the funds raised be utilized?
The funds will primarily support advancements in the Turnagain project and other potential Canadian acquisitions.
What are the exercise prices for the warrants?
The warrants associated with the units can be exercised at $0.11 for a three-year term ending in 2028.
How can I contact Giga Metals for more information?
Individuals can call the office at +1 (604) 681-2300 or email at info@gigametals.com for further inquiries.
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