Purepoint Uranium Group Inc. (TSX.V: PTU) announced the completion of its non-brokered private placement. As part of the closing, the Company issued 48,642,857 flow-through units for $3,405,000. Each Flow-Through Unit contains one common share with the appropriate taxation under the Canadian Income Tax Act and half of a common share purchase warrant. The warranty is valid for 24 months from the date of issuance and gives the holder the right to purchase one common share with an exercise price of $0.105 per share. All the securities issued as part of the Private Placement have a four-month restriction on them imposed by the relevant securities regulations, which will end on April 9, 2023. The funds generated from the Private Placement will be used to explore and progress the Company’s activities in the Athabasca Basin, Saskatchewan.
To complete the private placement, the Company gave out a total of $167,928.90 in cash and 2,398,984 non-transferable compensation warrants as finders’ fees. Each of these warrants allows its recipient to purchase one share of the Company’s stock at a price of $0.07 for 24 months following the closing date.