leadf
logo-loader
viewCabral Gold Inc

Cabral Gold closes C$1.86M first tranche of private placement of miner’s shares

A subsidiary of Dundee acquired 6 million common shares for C$1.5 million, increasing the holding company’s stake in the miner to 18.6%

Gold bars in front of the Canadian flag
Cabral has identified a new zone of gold mineralization at the Cuiu Cuiu project in Brazil

Cabral Gold Inc (CVE:CBR) (OTCMKTS:CBGZF) said Thursday that it has closed the first tranche of its private placement financing for gross proceeds of C$1.86 million through the issuance of 7.45 million common shares.

The Vancouver mining company said in a press release that Dundee Resources Ltd, a subsidiary of Toronto-based holding company Dundee Corp (TSE:DC.A), participated in the financing and acquired 6 million common shares for C$1.5 million.

READ: Cabral Gold identifies zone of gold mineralization in northern Brazil

The company said Dundee and its affiliates, on closing of the offering, owned and controlled 19.03% of the issued and outstanding common shares of the company on an undiluted basis.

"We are extremely pleased to welcome Dundee as a strategic investor," Cabral CEO Alan Carter said in a statement.

The company added that it paid cash finder's fees of C$91,500 and issued 366,000 share purchase warrants to a third party in connection with the private placement. Each finder's warrant entitles the holder to purchase one common share of the company at a purchase price of C$0.25 through November 28, 2020.

Officers and directors of Cabral subscribed for a total of 1.3 million common shares for gross proceeds of C$327,500.

Shares of Cabral were unchanged at C$0.22 in Thursday’s Canadian trading. Dundee advanced C$0.01 to C$1.29.

Earlier in November, Cabral said that it has identified a new zone of gold mineralization at the Cuiu Cuiu project in Brazil.

—This story was updated after Cabral clarified information on percentage of shares owned and controlled by Dundee—

 

Contact Dennis Fitzgerald at dennis@proactiveinvestors.com

Quick facts: Cabral Gold Inc

Price: 0.62 CAD

TSX-V:CBR
Market: TSX-V
Market Cap: $58.96 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Cabral Gold Inc named herein, including the promotion by the Company of Cabral Gold Inc in any Content on the Site, the Company receives from...

FOR OUR FULL DISCLAIMER CLICK HERE

Cabral Gold set to begin aggressive 25,000 meters drill program to define...

Cabral Gold Inc (CVE:CBR) (OTCMKTS:CBGZF) CEO Alan Carter tells Proactive the group is poised for a minimum of 25,000 meters of reverse circulation at its Cuiú Cuiú project in northern Brazil in a bid to define multiple high-grade gold deposits. Carter says drilling will initially focus on the...

4 weeks, 2 days ago

2 min read