Luminex Resources Corp. is pleased to report that, in connection with its previously announced private placement financing, the Company and a syndicate of agents, led by Haywood Securities Inc., and including PI Financial Corp., Cormark Securities Inc., and Raymond James Ltd. (collectively, the “Agents”) have agreed to increase the size of the offering (the “Brokered Offering”). The Brokered Offering will now consist of up to 11,536,000 common shares (“Shares”) at a price of C$0.70 per Share (the “Offering Price”), for aggregate gross proceeds of up to C$8,075,200. The Company has additionally decided to increase the amount of its concurrent non-brokered private placement to up to C$4,925,000 worth of Shares (the “Non-Brokered Offering”, and together with the Brokered Offering, the “Offering”), on the same terms as the Brokered Offering with certain insiders and strategic investors.
The Company plans to use the net proceeds from the Offering for the exploration and advancement of the Company’s projects in Ecuador and for general corporate purposes. The Offering is scheduled to close on or about June 24, 2020 the (“Closing Date”), and is subject to certain conditions customary for transactions of this nature, including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange. The Company has agreed to pay the Agents a cash commission of up to 6% of the gross proceeds raised under the Brokered Offering.
The common shares issued in the Offering will be subject to a statutory hold period of four months and one day following the Closing Date.
The securities to be offered pursuant to the Offering have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”) or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, United States persons absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
The Company expects certain related parties as defined in Multilateral Instrument 61-101 (“MI 61-101”) to participate in the Offering. Any such resulting related party transaction will be exempt from the formal valuation requirement and shareholder approval requirement of MI 61-101 as the fair market value of any Shares issued to such persons will not exceed 25% of the Company’s market capitalization.
About Luminex Resources
Luminex Resources Corp. is a Vancouver, Canada based precious and base metals exploration and development company focused on gold and copper projects in Ecuador. Luminex’s inferred and indicated mineral resources are located at the Condor Gold-Copper project in Zamora-Chinchipe Province, southeast Ecuador. Luminex also holds a large and highly prospective land package in Ecuador, including the Tarqui and Pegasus projects, which are being co-developed with BHP Group plc and Anglo American respectively.
Further details are available on the Company’s website at https://luminexresources.com/.
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| LUMINEX RESOURCES CORP. | |
| For further information contact: | |
| Signed: “Marshall Koval” | Scott Hicks |
| info@luminexresources.com | |
| Marshall Koval, CEO and Director | T: +1 604 646 1899 |
Contact Information:
“Marshall Koval”
CEO and Director
Tags:
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Contact Information:
“Marshall Koval”
CEO and Director
