Blue River Resources Ltd. (BXR.V) has closed the first tranche of its non-brokered private placement announced on Sept. 26, 2016.
The company issued 15,700,500 units of its securities at five cents per unit for gross proceeds of $785,025.Each unit consists of one common share and one-half of a share purchase warrant with each whole warrant entitling the holder to purchase one additional common share at an exercise price of nine cents per share on or before Oct. 3, 2018.
A finder's fee of $19,000 and 475,000 share purchase warrants was paid in connection with the first tranche of the private placement.Each finder warrant entitles the holder to purchase a common share at a price of nine cents per share on or before Oct. 3, 2018.
The securities issued pursuant to the private placement and any shares to be issued on the exercise of the warrants and finder warrants are restricted from trading until Feb. 4, 2017.
A director of the company subscribed for two million units of the private placement. The proceeds raised will be used for the Banlung gold project in Cambodia and for general corporate purposes.