Tactical Resources Corp. Secures $500,000 Through Debenture Sale

Overview of Tactical Resources Corp.'s Debenture Offering

Tactical Resources Corp. has successfully closed a private placement of convertible debentures, raising a total of $500,000. This offering represents a significant step for the company as it seeks to bolster its financial position and advance its operations, particularly in the realm of rare earth element (REE) exploration and development.

Details of the Convertible Debenture

The convertible debentures issued by Tactical Resources have specific terms that highlight their value and potential for investors. The maturity date for these debentures is set for January 21, 2027, giving investors a considerable duration to benefit from this investment opportunity. Each debenture can be converted into units of the company at a set price of $0.20 per unit, which further incentivizes participation in this offering.

Understanding the Units and Their Components

Each unit resulting from the conversion of debentures consists of one common share and a purchase warrant. These warrants allow investors to acquire additional shares at the same conversion price for a period of three years, providing an additional opportunity for growth and profit. The interest on the debentures is set at a competitive 10% per annum, making this financial instrument attractive to potential lenders and investors alike.

Usage of Proceeds from the Offering

With the proceeds from the debenture offering, Tactical Resources plans to allocate funds towards general working capital and to finance expenses related to a forthcoming business combination with Plum Acquisition Corp. III. This strategy aims to enhance the company's operational capacity and facilitate its expansion in the REE sector.

Implications of Insiders' Participation

Interestingly, two insiders from Tactical Resources participated in this offering, contributing a total of $15,000 in debentures. This involvement indicates a strong belief from the company's leadership in the future potential of its projects and adds a layer of confidence for external investors.

Mineral Exploration Focus of Tactical Resources

Tactical Resources Corp. is focused on the exploration and development of rare earth elements vital for modern technology and national defense. The company's efforts in metallurgical processing techniques play a crucial role in unlocking the full potential of these resources.

About the Peak Project

The Peak Project stands as Tactical Resources' flagship asset, concentrating on the environmentally responsible recovery of rare earth elements from tailings and stockpiled materials. The project's strategic location near El Paso, Texas, provides logistical advantages, including access to essential infrastructure such as highways and railways.

Business Combination with Plum Acquisition Corp. III

The anticipated business combination with Plum Acquisition Corp. III is poised to create exciting growth opportunities for Tactical Resources. By merging operations, the combined entity can streamline processes and tap into additional resources necessary for success in the highly competitive mining sector.

Future Prospects Post-Transaction

The expected closing of the merger will grant existing shareholders of Tactical Resources the opportunity to convert their stakes into those of a newly formed public company, referred to as Pubco. This transformation signifies an important milestone in the company's journey and sets the stage for broader market engagement.

Conclusion: A Bright Future for Tactical Resources Corp.

The completion of the debenture offering reflects Tactical Resources’ resilience and commitment to growth. With the influx of funds and a strategic plan ahead, the company is well-positioned to pursue its vision of becoming a leader in the rare earth elements sector. As they move forward, the management's confidence and strategic partnerships will play a vital role in shaping the company's future.

Frequently Asked Questions

What is Tactical Resources Corp.'s primary focus?

Tactical Resources Corp. focuses on mineral exploration and the development of rare earth elements essential for various modern technologies.

What were the proceeds from the recent debenture offering used for?

The proceeds from the debenture offering are intended for general working capital and expenses related to an upcoming merger with Plum Acquisition Corp. III.

What are the terms of the debentures?

The debentures have a maturity date of January 21, 2027, can be converted at $0.20 per unit, and bear an interest rate of 10% per annum.

Who participated in the latest funding round?

Insiders of Tactical Resources participated in the funding round, acquiring debentures worth a total of $15,000.

What is the significance of the Peak Project?

The Peak Project is Tactical Resources’ flagship asset, focusing on the recovery of rare earth elements and located strategically near El Paso, Texas.

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