The non-brokered financing includes one share and one warrant per unit, with proceeds earmarked for Falcon Gold's Northwestern Ontario properties and general working capital.
Falcon Gold Corp. said it plans a non-brokered private placement of up to 11,666,667 units at C$0.03 each, for gross proceeds of up to C$350,000. Each unit will include one common share and one transferable common share purchase warrant, with each warrant exercisable for one additional common share at C$0.05 for three years from issuance. The company said the net proceeds will be used to advance its Northwestern Ontario property portfolio and for general working capital. Management may participate in the financing, which would make that portion a related party transaction under MI 61-101 (Canadian minority-holder protection rules). Falcon said it expects to rely on exemptions from formal valuation and minority shareholder approval requirements because the value involved is not expected to exceed 25% of its market capitalization. Securities issued in the placement will be subject to a four-month-and-one-day hold period, and the company may pay finder's fees in line with TSX Venture Exchange policies. Closing remains subject to TSX Venture Exchange approval and customary conditions.