Galloper Arranges Strategic Private Placement
Rhea-AI Summary
Galloper Gold Corp (CSE:BOOM, OTC:GGDCF) has announced a non-brokered private placement of up to 9,000,000 units at $0.05 per unit with strategic investors, aiming to raise gross proceeds of up to $450,000. Each unit comprises one common share and one-half of a common share purchase warrant, with each full warrant exercisable at $0.075 for 12 months from issuance.
The private placement is expected to close around January 31, 2025. The company may pay finders' fees to eligible finders, subject to securities laws and CSE policies. All securities will have a four-month and one-day hold period. The proceeds will be used to advance the Glover Island asset, cover general and administrative expenses including marketing and investor relations, and provide working capital.
Positive
- Secured up to $450,000 in strategic investment
- Warrants provide potential additional funding at $0.075 per share
- Proceeds will advance Glover Island asset development
Negative
- Significant dilution at $0.05 per unit, below market price
- Short-term warrant exercise period of only 12 months
- Additional dilution possible from warrant exercises
News Market Reaction
On the day this news was published, GGDCF declined 27.84%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
VANCOUVER, BC / ACCESSWIRE / January 14, 2025 / Galloper Gold Corp. (CSE:BOOM)(OTC PINK:GGDCF) (the "Company" or "Galloper") is pleased to announce that it has arranged a non-brokered private placement of up to 9,000,000 units of the Company ("Units") at a price of
The Private Placement is expected to close on or about January 31, 2025.
The Company may pay finders' fees to eligible finders, in accordance with applicable securities laws and the policies of the Canadian Securities Exchange ("CSE"). The Private Placement is subject to approval of the CSE, and all securities issued under the Private Placement will be subject to statutory hold periods expiring four months and one day from the date of closing of the Private Placement.
The Company intends to use the net proceeds of this financing to advance its Glover Island asset, for general and administrative expenses which will include funds for marketing and investor relations, and cash for working capital.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.
About Galloper Gold Corp.
Galloper is focused on mineral exploration in the Central Newfoundland Gold Belt with its Glover Island and Mint Pond properties, each prospective for gold and base metals. The Glover Island Property, where the historic Lucky Smoke gold occurrence was recently expanded through drilling, consists of 532 mining claims totaling 13,300 hectares while Mint Pond consists of 499 claims totaling 12,475 hectares.
For more information please visit www.GalloperGold.com and the Company's profile on SEDAR+ at www.sedarplus.ca.
On behalf of the Board of Directors,
Mr. Hratch Jabrayan
CEO and Director
Galloper Gold Corp.
Company Contact:
info@gallopergold.com
Tel: 778-655-9266
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of applicable securities laws. The use of any of the words "anticipate", "plan", "continue", "expect", "estimate", "objective", "may", "will", "project", "should", "predict", "potential" and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company cannot give any assurance that they will prove correct. Since forward-looking statements address future events and conditions, they involve inherent assumptions, risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of assumptions, factors and risks. These assumptions and risks include, but are not limited to, assumptions and risks associated with mineral exploration generally, risks related to capital markets, risks related to the state of financial markets or future metals prices and the other risks described in the Company's publicly filed disclosure.
Management has provided the above summary of risks and assumptions related to forward-looking statements in this news release in order to provide readers with a more comprehensive perspective on the Company's future operations. The Company's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive from them. These forward-looking statements are made as of the date of this news release, and, other than as required by applicable securities laws, the Company disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise.
Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Galloper Gold Corp.
View the original press release on accesswire.com
FAQ
What are the terms of Galloper Gold's (GGDCF) January 2025 private placement?
How much capital is Galloper Gold (GGDCF) raising in its January 2025 private placement?
When will Galloper Gold's (GGDCF) January 2025 private placement close?
How will Galloper Gold (GGDCF) use the proceeds from its January 2025 private placement?
What is the hold period for securities issued in Galloper Gold's (GGDCF) January 2025 private placement?
