Proactive Investors - Run By Investors For Investors

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

Dundee and its affiliates now own and control 18.6% of the issued and outstanding common shares on an undiluted basis, according to Cabral.

"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.


Contact Dennis Fitzgerald at [email protected]

View full CBR profile View Profile

Cabral Gold Inc Timeline

Related Articles

Rock samples from BC Cobalt Project
October 15 2018
Jewel prospect in the BC Cobalt Project is the company’s highest priority for drill testing at the earliest opportunity.
Concentrate produced in tests for Abra project
October 10 2018
Consultant and contractor GR Engineering Services will undertake key components of the DFS.
July 03 2018
The company’s goal is to be a leader in the battery metals sector, with cleaner cobalt in Australia
Copyright ©, 2018. All Rights Reserved - Proactive Investors North America Inc., Proactive Investors LLC

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use