Mr. Matthew Hornor reports
AURVISTA GOLD TO RAISE $7 MILLION DOLLARS
Aurvista Gold Corp. plans to complete a private placement financing for aggregate gross proceeds of $7-million through the combination of a sale of charitable flow-through (CFT) units at a price of 41 cents per CFT unit and the sale of hard-dollar (HD) units at a price of 25 cents per HD unit. If $5-million was raised in the CFT unit offering and $2-million was raised in the HD unit offering, an aggregate of 20,195,121 units would be issued.
Each CFT unit and each HD unit will consist of one common share and one full warrant. Each warrant, which will be transferable, will entitle the holder to purchase one additional common share of the company at an exercise price of 40 cents per share. It is the company's intention to list the warrants for trading on the TSX Venture Exchange as this can encourage longer-term investors of the underlying units. The warrants will be listed once the hold period concludes, subject to TSX Venture Exchange approval. The warrants will expire five years from the closing date, which is expected to be on or about June 22, 2017.
All the securities will be subject to a four-month hold period from the date of closing. The private placement is subject to the approval of the exchange and finders' fees will be payable on a portion of the proceeds in accordance with the policies of the exchange.
The company intends on using the net proceeds from the private placement to continue advancing the Douay gold project and for general corporate purposes.
Aurvista's president and chief executive officer, Matthew Hornor, stated: "We are excited about the strong support we have seen from existing and new investors for this private placement. The majority of the financing comes at a 64-per-cent premium and will aid Aurvista in fully realizing and capitalizing on the latent potential of its Douay project."
ABout Aurvista Gold Corp.
Aurvista Gold is a junior gold exploration and development company advancing the Douay gold project. Aurvista's 305-square-kilometre district-scale Douay gold project hosts a large inferred gold resource with significant exploration upside along a 40-kilometre segment of the Casa Berardi deformation zone in the prolific Abitibi greenstone belt of Northern Quebec. Douay is located 55 kilometres southwest of the Matagami base metal camp and approximately 140 kilometres north of the Val d'Or-Malartic gold camp (both in Quebec).
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