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VANCOUVER, British Columbia, May 22, 2018 (GLOBE NEWSWIRE) -- Rugby Mining Limited (“Rugby” or the “Company”) (TSX-V: RUG ) is pleased to announce that it has closed the non-brokered private placement announced May 2, 2018 and amended May 4, 2018 (the “Private Placement”).
Due to exceptional demand, the Company took additional subscriptions over the May 4, 2018 announcement and issued 6,270,714 units (the “Units”) at a price of CAD$0.35 per Unit for gross proceeds of CAD$2,194,749.90 (the “Offering”). Each Unit consists of one (1) common share and one (1) common share purchase warrant (a “Warrant”). Each Warrant entitles the holder thereof to purchase one (1) additional common share of the Company at an exercise price of $0.50 until May 22, 2019.
Four directors and two officers of the Company participated in the Offering acquiring, directly or indirectly, an aggregate of 880,000 Units. The participation by insiders in the Offering is considered to be a “related party transaction” as defined under Multilateral Instrument 61-101 (“MI 61- 101”). The transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101, as neither the fair market value of the securities being issued nor the consideration being paid exceeds 25% of Rugby’s market capitalization. Additionally, associates and advisors to the Company participated in the Offering and these along with the insiders’ subscriptions totaled approximately 2.3 million Units.
The Company paid CAD$48,825 as finder’s fees in connection with a portion of the Offering.
All securities issued pursuant to the Offering are subject to a four month hold period expiring on September 19, 2018.
Proceeds of the Offering will be used to fund Rugby’s exploration expenditures including at its Colombian Gold and Copper Projects and for administrative purposes.
For additional information you are invited to visit the Rugby Mining Limited website at www.rugbymining.com
RUGBY MINING LIMITED Paul Joyce President and CEO
For further information, please contact:
| Paul Joyce, President and CEO Tel: 604.688.4941 Fax: 604.688.9532 Toll-free: 1.855.688.4941 | Suite 1660, 999 West Hastings St. Vancouver, BC Canada V6C 2W2 info@rugbymining.com |
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