Avalon Closes $1.5 million Preferred Share Financing
Toronto, Ontario--(Newsfile Corp. - January 15, 2018) - Avalon Advanced Materials Inc. (TSX: AVL) (OTCQX: AVLNF) ("Avalon" or the "Company") is pleased to announce that it has closed its previously announced preferred share financing with an entity managed by The Lind Partners, a New York based asset management firm ("Lind"), as described in the Company's news release of December 22, 2017 (Click Here).
The financing involved the issuance of 300 Series B1 Preferred Shares on a private placement basis at a price of $5,000 per share for gross proceeds of $1,500,000, which brings Lind's total investment in Avalon to $4,000,000. In addition, Lind received 6,250,000 common share purchase warrants exercisable until January 15, 2023 at a price of $0.15 per common share.
The proceeds will be used for ongoing market development work, metallurgical studies and preliminary engineering work on the Separation Rapids Lithium Project and for general working capital purposes. The work at Separation Rapids will include a 1,500-2,000 metre diamond drilling program scheduled to begin during the week of January 22. This program will test projected extensions of the presently defined lithium resource, and test some new targets on the western part of the property.
This news release is not an offer of securities for sale in the United States. The securities have not been and will not be registered under the US Securities Act of 1933, as amended (the "US Securities Act"), and may not be offered or sold in the United States or to US persons (as defined in Regulation S under the US Securities Act) absent registration or an applicable exemption from registration. All currency reported in this release is in Canadian dollars.
About The Lind Partners
The Lind Partners is a New York-based institutional fund management firm focused on small-and mid-cap companies publicly traded in Canada, Australia and the UK across mining, oil & gas, biotech and technology. Lind employs a multi-strategy investment approach: direct investments of new capital; participation in syndicated equity placements; IPO/pre-IPO investments; and selective open market trades. Since 2009, the Lind team has completed over 75 direct investments totaling over $600 million in value.
About Avalon Advanced Materials Inc.
Avalon Advanced Materials Inc. is a Canadian mineral development company specializing in niche market metals and minerals with growing demand in new technology. The Company has three advanced stage projects, all 100%-owned, providing investors with exposure to lithium, tin and indium, as well as rare earth elements, tantalum, niobium, and zirconium. Avalon is currently focusing on its Separation Rapids Lithium Project, Kenora, ON and its East Kemptville Tin-Indium Project, Yarmouth, NS. Social responsibility and environmental stewardship are corporate cornerstones.