Vancouver, British Columbia--(Newsfile Corp. - December 19, 2017) - SilverCrest Metals Inc. (TSXV: SIL) (OTCQX: SVCMF) ("SilverCrest" or the "Company") is pleased to announce the completion of the bought deal private placement offering announced on November 30, 2017 whereby the Company issued a total of 9,572,810 units of the Company ("Units") at a price of $1.05 per Unit (the "Issue Price") for gross proceeds of $10,051,450 (the "Offering"). Each Unit consists of one common share of SilverCrest and one‑half of one common share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder to acquire one common share of SilverCrest at an exercise price of $1.45 until December 19, 2019. The Offering includes exercise in full of the underwriters' option to purchase additional Units at $1.05 per Unit.
The Offering was led by National Bank Financial Inc. and PI Financial Corp. and included Cormark Securities Inc. and Eight Capital as underwriters. The Company paid the underwriters a cash commission of $568,282 on the proceeds of the Offering.
The net proceeds of the Offering will be used for the Company's continued exploration and drilling programs, to finalize a maiden resource estimate for the Las Chispas Project, and for general corporate purposes.
Certain of SilverCrest's insiders purchased or acquired direction and control over Units under the private placement. The placement to those persons constitutes a "related party transaction", within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 ("MI 61-101"). The Company has relied on the exemptions from the formal valuation and minority approval requirements of MI 61-101 contained in sections 5.5(b) and 5.7(1) (a) of MI 61-101 in respect of related party participation. Further details will be included in the material change report.
The material change report was not filed more than 21 days prior to closing of the placement due to the timing of the announcement and closing occurring in less than 21 days.
The common shares and Warrants issued under the Offering and the common shares issuable upon exercise of the Warrants are subject to a hold period that expires on April 20, 2018. The Offering is subject to final approval of the TSX Venture Exchange.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been registered under the United States Securities Act of 1933, as amended or any state securities laws and may not be offered or sold within the United States, absent such registration or an applicable exemption from such registration requirements.
ABOUT SILVERCREST METALS INC.
SilverCrest is a Canadian precious metals exploration company headquartered in Vancouver, BC, that is focused on new discoveries, value-added acquisitions and targeting production in Mexico's historic precious metal districts. The Company's current focus is on the high-grade, historic Las Chispas mining district in Sonora, Mexico. SilverCrest is the first company to successfully drill-test the historic Las Chispas Project resulting in numerous discoveries. The Company is led by a proven management team in all aspects of the precious metal mining sector, including taking projects through discovery, finance, on time and on budget construction, and production.
