Quimbaya Gold Inc. Secures $348,273 in Latest Private Placement
Investment Aims to Further Company’s Growth
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
VANCOUVER, BC, Oct. 25, 2024 /CNW/ – Quimbaya Gold Inc. QIM QIMGF (FSE: K05) (“Quimbaya” or the “Company”) has announced the completion of a tranche private placement. This follows their press release from June 5, 2024. The Company has sold units at a price of $0.50 each, raising up to $348,273.72 for a total of 696,548 units. This funding comes from both traditional private placement sources and shares exchanged for debt or past services (the “Private Placement”).
Each unit consists of one common share of the Company (a “Common Share”) and a half non-transferable share purchase warrant (a “Warrant”). Each Warrant allows for the purchase of an additional common share (a “Warrant Share”) within a year from the Private Placement’s closing date at an exercise price of $0.75. If the trading price of the Company’s common shares reaches or exceeds $1.00 for ten consecutive trading days on the Canadian Securities Exchange (the “CSE”), the Company may accelerate the expiry date of the Warrants. A similar condition applies for the Warrants attached to debt conversions, which may be triggered after five consecutive trading days of the same pricing.
The funds raised will support the Company’s projects and cover general working expenses. Additionally, if demand exceeds expectations, the Company may accept more investments, pending regulatory approval. They will also issue a Finder’s Fee of 43,680 finder’s warrants (“Finder’s Warrants”), which have a one-year term and an exercise price of $0.75.
Some Company insiders took part in the Private Placement, which is classified as a related party transaction under Multilateral Instrument 61-101 (“MI 61-101”). This transaction is exempt from the minority approval and valuation requirements because the value of securities involved does not surpass 25% of the Company’s market capitalization.
In another announcement, Quimbaya also granted 500,000 stock options (“Options”) to certain directors, officers, and consultants. These Options have a four-month hold period and will vest over one year, with an exercise price set at $0.40. The issuance of these Options awaits approval from the CSE.
About Quimbaya
Quimbaya is focused on discovering gold resources through exploration and acquisition of mining properties in Colombia’s rich mining territories. With a seasoned management team, they are currently engaged in three key projects located in Antioquia Department: the Tahami Project in Segovia, the Berrio Project in Puerto Berrio, and the Maitamac Project in Abejorral.
Cautionary Statements
This release contains “forward-looking information” as defined by applicable securities laws regarding the Company’s operations, products, and future prospects. While the Company is optimistic, there are no guarantees that expected results will materialize. Forward-looking statements are based on various assumptions and management’s insights at the time of this announcement, including the successful completion of the Private Placement and receiving the necessary regulatory approvals. Readers should be wary of relying on these statements, as actual outcomes may differ significantly from those anticipated. The Company does not intend to update any forward-looking information, except as required by law.
The Canadian Securities Exchange (CSE) has not reviewed, approved, or disapproved this press release.
SOURCE Quimbaya Gold Inc.
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