Sage Potash Corp. (TSXV: SAGE) (OTCQB: SGPTF) (“Sage Potash” or the “Company“), a Canadian company focused on developing its Sage Plain Potash Project located in the Paradox Basin, Utah, is pleased to announce that it has closed its previously announced non-brokered private placement, raising gross proceeds of C$6 million (the “Offering“).
Peter Hogendoorn, CEO and Executive Chairman of Sage Potash, commented:
“We’re proud to have successfully closed a financing that was upsized from C$4M to C$6M in response to strong investor interest. The proceeds will position us to accelerate field activity, technical planning, and permitting as we move closer to unlocking the full potential of our domestic resource.”
The financing consisted of the issuance of 24,000,000 units of the Company at a price of $0.25 per unit. Each unit comprises one common share and one-half of one non-transferable common share purchase warrant, resulting in the issuance of 24,000,000 common shares and 12,000,000 common share purchase warrants. Each whole warrant entitles the holder to purchase one additional common share at a price of $0.35, exercisable for a period of two years from the closing date.
In connection with the closing, the Company paid applicable finders’ fees and commissions in accordance with TSX Venture Exchange policies and applicable securities laws. This included the payment of $285,860 in cash compensation and the issuance of 1,132,820 broker warrants, entitling holders to purchase additional common shares under the same warrant terms as under the Offering.
Net proceeds from the Offering will be allocated toward the continued development of the Sage Plain project, strategic exploration activities and infrastructure planning, and general working capital requirements.
All securities issued under the Offering will be subject to a hold period of four months and one day from the date of issuance under applicable securities laws. The TSX Venture Exchange has conditionally approved the Offering, subject to customary final filings.
Continue at Sage Potash
