Toronto: TSX-V: MHI
Frankfurt: MLN/WKN: A1JKJN
OTC Market (US): MHIFF
VANCOUVER, BC, April 27, 2021 /CNW/ - Mineral Hill Industries
Ltd. ("MHI" or "Company"), listed on the TSX Venture
Exchange ("TSXV") under the trading Symbol "MHI", and on the
Deutsche Boerse, Frankfurt under
the trading Symbol "MLN" wishes to announce a non-brokered "Private
Placement" financing of up to CAD
500,000 in two (2) parts, PP1a and PP1b ("Offering"). The
Company's average closing price on the TSXV since the resumption of
trading on April15, 2021 including today's closing of CAD 0.182.
PP1a will consist of 900,000 units at today's closing
price of CAD 0.225 per unit,
consisting of one common share and one transferable share purchase
warrant (the "Warrant") with an overall exercise period of two (2)
years subsequent to the to be announced Closing Date of PP1a. Each
Warrant allows its holder to purchase one common share of the
Company at a price of CAD 0.30 per
share if exercised within the first year of the Closing Date and at
a price of CAD 0.34 per share if
exercised within the second year following the Closing Date.
If, at any time after the Closing Date, the closing price of the
Company's common shares on the TSX Venture Exchange is greater than
$0.45 per share for a period of 12
consecutive trading days, the Company may elect to accelerate the
expiry date of all or part of the Warrants, by giving notice
thereof to the holders of the Warrants. In such case, that portion
of the outstanding Warrants would be subject to an expiry date that
is 30 business days after the date on which such notice is given by
the Company.
PP1b will consist of 1,000,000 flow-through common shares
("Flow-Through shares") at a price of CAD
0.30 per Flow-Through share.
The proceed from PP1a will be used for general working capital
including budgeted acquisition and consulting payments. All of the
gross proceeds from the issuance of the Flow-Through Shares will be
used to incur Canadian Exploration Expenses ("CEE"), qualifying as
"flow-through mining expenditures" under the Income Tax Act
(Canada), which will be renounced
to the purchasers of the Flow-Through shares.
Closing of the Offering is subject to certain customary
conditions, including, but not limited to, the receipt of all
necessary regulatory approvals and acceptance of the TSXV. All
securities issued under the Offering will be subject to a statutory
hold period of four months plus a day following the date of
closing. The Company may pay finder's fees on a portion of the
Offering, subject to compliance with the policies of the TSX
Venture Exchange and applicable securities legislation.
Certain directors and officers of the Company may acquire units
under the private placement. Any such participation would be
considered to be a "related party transaction" as defined under
Multilateral Instrument 61-101 ("MI 61-101"). The transaction will
be exempt from the formal valuation and minority shareholder
approval requirements of MI 61-101 as neither the fair market value
of any units issued to or the consideration paid by such persons
will exceed 25% of the Company's market capitalization. This
private placement is subject to regulatory approval.
The Company seeks Safe Harbor
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
This news release may contain forward-looking statements
based on assumptions and judgments of management regarding future
events or results. Such statements are subject to a variety of
risks and uncertainties which could cause actual events or results
to differ materially from those reflected in the forward-looking
statements. There is no assurance the private placement, property
option or reinstatement of trading referred to above will close on
the terms as stated, or at all. The Company disclaims any intention
or obligation to revise or update such statements.
The securities which may be offered have not been, nor will
be, registered under the United States Securities Act of 1933, as
amended, and may not be offered or sold in the United States or to U.S. persons without
registration or applicable exemption from the registration
requirement of such Act. This release does not constitute an offer
for sale of such securities in the United
States of America.
SOURCE Mineral Hill Industries Ltd.