Closes $3.0M First Tranche of Non-brokered
Canadian Orebodies Inc.
(TSXV: CO) (the
"Company") is pleased to announce that it has closed on its first
tranche of a non-brokered private placement (the "Financing") for
aggregate gross proceeds of $3,010,000 through the sale of 7,055,556
units of securities of the Company (each, a "Unit") at a price of
per Unit and 8,700,000 "flow-through" units of the Company (each, a
"Flow-Through Unit") at a price of $0.20 per Flow-Through Unit.
Each Unit is comprised of one common share of the Company (each, a
"Common Share") and one-half of one Common Share purchase warrant of
the Company (each such whole Common Share purchase warrant, a
"Warrant"). Each Warrant will be exercisable into one Common Share
a period of 18 months from the closing of the Financing (the "Closing
Date") at an exercise price of $0.30 per share. Each Flow-Through Unit
is comprised of one Common Share issued on a "flow-through" basis
pursuant to the Income Tax Act (Canada) and one half of one Warrant.
The expiry date of the Warrants may be accelerated, at the option of
the Company, if the closing price of the Common Shares on the TSX
Venture Exchange exceeds $0.40 for a period of 20 consecutive trading
days commencing on the date that is four months and one day after the
Closing Date by giving notice to the holders thereof, in which case the
Warrants will expire on the twentieth business day after the date on
which such notice is given by the Company.
The Company paid cash finders' fees in the aggregate amount of $26,400
and granted non-transferable options (each, a "Finders Option") to
purchase an aggregate of up to 132,000 units of the Company (each, a
"Finders Unit"). Each Finders Option entitles the holder thereof to
purchase one Finders Unit for a period of 18 months from the Closing
Date at an exercise price of $0.18. Each Finders Unit will be comprised
of one Common Share and one half of one Common Share purchase warrant
(each such whole Common Share purchase warrant, a "Finders Unit
Warrant"). Each Finders Unit Warrant will entitle the holder thereof to
purchase one Common Share at an exercise price of $0.30 per Common
Share for a period of 18 months from the Closing Date.
The securities issued by the Company in connection with this offering
are subject to a statutory hold period which expires on October 29,