Global Battery Metals Announces Closing of Upsized and Over-Subscribed Private Placement
TSX VENTURE: GBML
VANCOUVER, British Columbia, April 23, 2019 (GLOBE NEWSWIRE) -- Global Battery Metals Ltd. (formerly Redzone Resources) (the ‘Company’) (TSX-V: GBML) is pleased to announce that further to its press release of April 3rd, 2019, it has up-sized and closed its non-brokered private placement (the “Offering”) and has raised gross proceeds of $1,029,008. The Company will, on TSX-V approval, issue 6,431,300 units (“Units”) at a price of $0.16 per Unit.
Each Unit consists of one common share and one-half of one common share purchase warrant (each whole warrant a “Warrant”). Each Warrant is exercisable into one common share at an exercise price of $0.24 for a period of 2 years from the issue date.
Three Insiders participated in the offering for an aggregate amount of $125,008 comprising 781,300 Units representing 12% of the offering. Participation of insiders of the Company in the Offering constitutes a "related party transaction" as defined under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Offering is exempt from the formal valuation and shareholder approval requirements of MI 61-101 as neither the fair market value of securities being issued to insiders nor the consideration being paid by insiders will exceed 25% of the Company's market capitalization.
The Company will pay cash finder’s fees of $23,700 to certain finders in connection with the Offering.
Proceeds from the Offering will be used for drilling at the Fortner Boyd Lithium property in Arizona, for advancing its North-West Leinster lithium property in Ireland, and for general working capital. The Fortner-Boyd project is fully bonded and permitted for drilling and the Company plans to initiate its maiden drill program on multiple lithium pegmatite targets shortly. The Company will also continue work on its North-West Leinster lithium property with the objective of identifying drill targets.
About Global Battery Metals Ltd.
Global Battery Metals Ltd. is a mineral exploration company with a focus on metals that make up and support the rapid evolution to battery power. The Company currently has five projects: (1) the Fortner-Boyd lithium project in Arizona, (2) the North-West Leinster lithium property in Ireland, (3) a 55-per-cent stake in the Lara copper project in Peru which has over 10,000 metres of drilling, (4) the Pine Vanadium property in BC, and (5) the Wells Vanadium property in BC.
For further information please contact:
Michael Murphy, President & CEO, 1-604-649 2350
Sherman Dahl, Pretium Group, 250-558 8340
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 and / or accuracy of this release
Forward Looking Statements – Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties certain of which are beyond the control of the Company, including, but not limited to the impact of general economic conditions, industry conditions, dependence upon regulatory approvals, and the availability of financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.