(TheNewswire)
Vancouver, B.C., August 31, 2017 / TheNewswire / UMBRAL ENERGY CORP. (CSE: UMB) (the "Company" or "Umbral") is pleased to announce that it has closed its previously announced (see press releases dated July 14, 2017 and August 24, 2017) non-brokered private of 43,700,000 units (the "Units") at a price of $0.06 per Unit for gross proceeds of $2,622,000 (the "Offering").
Each Unit consists of one common share in the capital of the Company (a "Share") and one common share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to purchase one additional Share until August 30, 2019 (subject to acceleration in certain circumstances) at a purchase price of $0.10 per Share.
In connection with the Offering, the Company has paid a cash commission in the aggregate amount of $91,900, being 8% of the aggregate proceeds raised from the sale of units to purchasers introduced by eligible finders. In addition, the Company has issued warrants (the "Finders' Warrants") to acquire a total of 1,531,653 Shares, being 8% of the number of Units sold under the Offering to purchasers introduced by such finders. Each Finders' Warrant entitles the holder to purchase one Share at a price of $0.10 per Share until August 30, 2019 (subject to acceleration in certain circumstances).
Clint Sharples, Chairman of Umbral commented, "I am very proud of the efforts by Jag Bal and his team on this financing. The market is showing tremendous support and confidence in both Umbral and PhyeinMed as evidenced by this raise being significantly oversubscribed. We look forward to continuing to achieve the milestones in our plan over the coming months as we move closer to obtaining our goal of an ACMPR license"
All securities issued in connection with the Offering are subject to a statutory hold period expiring December 31, 2017 in accordance with applicable securities legislation. The proceeds from the Offering will be used to pay the balance of the purchase price for a Falkland, BC property (see press release dated July 13, 2017), completion of phase 1 of the build-out prior to an award of a license to cultivate, fund a work program on the Letourneau Property and for general working capital.
About Umbral Energy Corp.
The Company is currently listed as a junior resource issuer having mineral exploration projects. The Company is considering other activities to increase shareholder value, including non-resource projects. The Company has a mineral exploration project in Quebec. In addition the Company has an interest in PhyeinMed, who has applied for a license from Health Canada to legally grow and sell medical marijuana.
ON BEHALF OF THE BOARD OF DIRECTORS OF UMBRAL ENERGY CORP.
"Jag Bal"
Jagdip Bal
President and CEO
The Canadian Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.
THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.
This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors - including the availability of funds, the results of financing efforts, the results of exploration activities -- that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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