Grizzly Discoveries Inc. (the
"Corporation") (TSX VENTURE:GZD - News; FRANKFURT:G6H - News) announces some
modifications to the terms of a previously announced non-brokered private
placement of flow through units ("FT Units") at a price of $0.35
per FT Unit and non-flow through units ("Units") at a price of
$0.30 per Unit for aggregate gross proceeds of up to $1,000,000 (the
"Offering").
Each FT Unit will consist of one common
share of the Corporation ("Common Share") to be issued as a
"flow-through share" pursuant to the Income Tax Act (Canada) and
one non-transferable Common Share purchase warrant ("FT Unit
Warrant") entitling the holder to acquire one additional non-flow
through Common Share at a price of $0.60. Each Non-FT Unit will consist of
one Common Share and one non-transferable Common Share purchase warrant
("Non-FT Unit Warrant") entitling the holder to acquire one
additional Common Share at a price of $0.50. The FT Unit Warrants and the
Non-FT Unit Warrants expire on the earlier of: (a) 30 days following the
issuance of a news release by the Corporation that the trading price of the
Common Shares on the TSX Venture Exchange is at or greater than $0.80 per
Common Share for 10 consecutive trading days; and (b) 24 months from the date
of issuance.
The Corporation has agreed to pay a 5%
finder ' s fee to a certain subscriber in connection with $700,000 of the
Offering plus a due diligence fee equal to 3% of the value of the FT Units
sold by them. The Corporation has also granted to the subscriber an option to
acquire Units ("Agent Option") equal to 10% of the number of FT
Units sold by them in connection with the Offering. The option will have a 2
year term with an exercise price of $0.35 per Unit. Each Unit will consist of
a Common Share and a Non-FT Unit Warrant exercisable on the same terms as the
Units. The Corporation may also pay finder's fees of 8% in cash and 10% Agent
Options to other registered dealers in connection with the remaining $300,000
of the Offering.
The proceeds of the Offering will be
used to conduct exploration on the Corporation's Greenwood Gold Project and
for general working capital.
The FT Units and Units will be subject
to resale restrictions and may not be resold until four months and a day
after the closing date of the Offering. The Offering is subject to regulatory
approvals.
About Grizzly Discoveries Inc.
Grizzly is an aggressive Canadian
exploration company focused on exploring for world class gold and base metal
deposits in British Columbia, and for diamonds and industrial minerals in
Alberta. In British Columbia, Grizzly currently has four precious-base metal
properties totaling over 235,000 acres. It currently holds more than 600,000
acres in diamond properties which host diamondiferous kimberlites
in the Buffalo Head Hills and Birch Mountains of Alberta. Grizzly has also
acquired metallic and industrial mineral permits for potash totaling more
than 1.8 million acres along the Saskatchewan-Alberta border.
Grizzly trades on the TSX Venture
Exchange under the symbol GZD, with 31,410,302 Common Shares issued and
outstanding.
On behalf of the Board
Grizzly Discoveries Inc.
Brian Testo,
President
For further information, please visit
our website at http://www.grizzlydiscoveries.com
or contact Investor Relations.
Forward Looking Statements
This press release includes certain
statements that may be deemed to be forward-looking statements. All
statements in this press release, other than statements of historical facts
that address access to capital, regulatory approvals, exploration drilling,
exploitation activities and events or developments that the Corporation
expects are forward-looking statements. Although the Corporation believes the
expectations expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees of future
performance and actual results or developments may differ materially from
those in the forward-looking statements. Factors that could cause actual results
to differ materially from those in forward-looking statements include market
prices, exploitation and exploration successes, continuity of mineralization,
uncertainties related to the ability to obtain necessary permits, licenses
and title and delays due to third party opposition, changes in government
policies regarding mining and natural resource exploration and exploitation,
and continued availability of capital and financing, and general economic,
market or business conditions. Investors are cautioned that any such
statements are not guarantees of future performance and actual results or
developments may differ materially form those
projected in the forward-looking statements. Readers are cautioned not to
place undue reliance on this forward-looking information, which is given as
of the date it is expressed in this press release, and the Corporation
undertakes no obligation to update publicly or revise any forward-looking
information, whether as a result of new information, future events or
otherwise, except as required by applicable securities laws. For more
information on the Corporation, investors should review the Corporation's
continuous disclosure filings that are available at www.sedar.com.
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Nancy Massicotte
IR PRO COMMUNICATIONS
604-507-3377 or Toll Free: 1-866-503-3377
ir@grizzlydiscoveries.com
www.irprocommunications.com |