US Copper Corp Proposes $500,000 Non-Brokered Private Placement

Rhea-AI Summary

US Copper Corp (TSXV: USCU) (OTCQB: USCUF) has announced a proposed non-brokered private placement to raise up to $500,000 through the issuance of up to 10,000,000 units at $0.05 per unit. Each unit consists of one common share and one warrant, with each warrant allowing the purchase of one common share at $0.08 within 2 years after closing.

The securities will have a four-month hold period, and the offering's completion requires regulatory and TSX Venture Exchange approvals. The proceeds will be used for general working capital purposes.

Additionally, the company's Board has approved the grant of 6,350,000 stock options to directors, officers, and consultants, with an exercise price of $0.10 per share, immediate vesting, and a 3-year term.

Positive

• Raising up to $500,000 in new capital for working capital purposes
• Warrants provide potential additional funding at $0.08 per share

Negative

• Significant dilution through issuance of up to 10,000,000 new units
• Additional dilution potential from 6,350,000 stock options
• Low unit pricing at $0.05 indicates possible financial pressure

Toronto, Ontario--(Newsfile Corp. - January 24, 2025) - US Copper Corp (TSXV: USCU) (OTCQB: USCUF) (FSE: C73) ("US Copper" or the "Company")  announces a proposed non-brokered private placement for aggregate gross proceeds of up to $500,000 comprised of up to 10,000,000 units at a price of $0.05 per unit (each such unit being comprised of one common share and one warrant) (the "Offering"). Each whole warrant will entitle the holder to purchase one common share for $0.08 at any time within 2 years after closing. All securities issued pursuant to this private placement will be subject to a four (4) month hold period. Completion of the Offering is subject to receipt of all required regulatory and TSX Venture Exchange approvals.

The Company intends to use the proceeds of the Offering for general working capital purposes.

In addition, the Company would also like to announce that its Board has approved the grant of 6,350,000 stock options to certain directors, officers and consultants of the Company, subject to regulatory and TSX Venture Exchange approval. The stock options have been issued with an exercise price of $0.10 per share, vest immediately, and have a 3-year term.

For Further Information Contact:
Mr. Stephen Dunn, President, CEO and Director, US Copper Corp (416) 361-2827 or email info@uscoppercorp.com.

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 or accuracy of this press release.

This press release contains forward-looking statements within the meaning of applicable Canadian and U.S. securities laws and regulations, including statements regarding the future activities of the Company. Forward-looking statements reflect the current beliefs and expectations of management and are identified by the use of words including "will", "hopes", "anticipates", "expected to", "plans", "planned", "intends" and other similar words. Actual results may differ significantly. The achievement of the results expressed in forward-looking statements is subject to a number of risks, including those described in the Company's management discussion and analysis as filed with the Canadian securities regulatory authorities which are available at www.sedarplus.ca. Investors are cautioned not to place undue reliance upon forward-looking statements.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/238398

FAQ

What are the terms of US Copper Corp's (USCUF) January 2025 private placement?

US Copper Corp is offering up to 10,000,000 units at $0.05 per unit, with each unit comprising one common share and one warrant. Each warrant allows purchase of one common share at $0.08 within 2 years after closing.

How much money is US Copper Corp (USCUF) raising in its 2025 private placement?

US Copper Corp aims to raise up to $500,000 through its non-brokered private placement announced in January 2025.

What stock options did US Copper Corp (USCUF) grant in January 2025?

US Copper Corp granted 6,350,000 stock options to directors, officers, and consultants with an exercise price of $0.10 per share, immediate vesting, and a 3-year term.

How will US Copper Corp (USCUF) use the proceeds from its 2025 private placement?

US Copper Corp intends to use the proceeds from the private placement for general working capital purposes.