MONTREAL, March 9, 2021 /CNW/ - AM Resources
Corporation ("AM" or the "Corporation") (TSXV:
AMR) (Frankfurt: 76A) is pleased
to announce that it has closed its previously announced
non-brokered private placement of 32,500,000 units (the
"Units") of the Corporation at a price of $0.04 per Unit (the "Offering") for gross
proceeds of $1,300,000.
Each Unit of the Offering is comprised of one common share of
the Corporation (each a "Share") and one share purchase
warrant (each a "Warrant"). Each Warrant will entitle the
holder to acquire one additional Share in the capital of the
Corporation at a price of $0.05 per
Warrant for a period of two (2) years from the date the Units are
issued.
Certain insiders of the Corporation subscribed for a total of
2,875,000 Units under the Offering, which is a "related party
transaction" within the meaning of Multilateral Instrument 61-101
Protection of Minority Security Holders in Special Transactions
("MI 61-101"). The issuances to the insiders are exempt from
the valuation requirement of MI 61-101 by virtue of the exemption
contained in section 5.5(b) as the Corporation's shares are not
listed on a specified market and from the minority shareholder
approval requirements of MI 61-101 by virtue of the exemption
contained in section 5.7(a) of MI 61-101 in that the fair market
value of the consideration of the securities issued to the related
parties did not exceed 25% of the Corporation's market
capitalization. The Corporation did not file a material change
report more than 21 days before the expected closing of the
Offering as the details of the Offering and the participation
therein by related parties of the Corporation were not settled
until shortly prior to closing and the Corporation wished to close
on an expedited basis for sound business reasons.
The Corporation paid finder fee of $7,080 in cash and issued 90,000 non-transferable
Finder's warrants entitling the holder thereof to purchase one (1)
Share at an exercise price of $0.05
per Share until the Warrant Expiry Date.
Proceeds from this financing will be used for general operating
purposes. This Offering is subject to approval by the TSX Venture
Exchange. All securities issued in respect of the Offering will be
subject to a hold period of four (4) months and a day from closing
of the Offering in accordance with securities laws.
ABOUT AM RESOURCES CORP.
AM Resources Corp. is a mining exploration Corporation with
interests in coal and natural bitumen projects in Colombia. AM is betting on Colombia's excellent mineral potential and
favourable climate to pursue its Colombian venture.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Forward Looking Statements
This news release contains forward-looking statements.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of AM to be materially different from
any future results, performance or achievements expressed or
implied by the forward-looking statements. Often, but not always,
forward-looking statements can be identified by the use of words
such as "plans", "expects" or "does not expect", "is expected",
"estimates", "intends", "anticipates" or "does not anticipate", or
"believes", or variations of such words and phrases or state that
certain actions, events or results "may", "could", "would", "might"
or "will" be taken, occur or be achieved. Accordingly, readers
should not place undue reliance on the forward-looking statements
and information contained in this press release. Since
forward-looking statements and information address future events
and conditions, by their very nature they involve inherent risks
and uncertainties.
Actual results could differ materially from those currently
anticipated due to a number of factors and risks. Readers are
cautioned that the foregoing list of factors is not exhaustive. The
forward-looking statements contained in this news release are made
as of the date of this release and, accordingly, are subject to
change after such date.
AM does not assume any obligation to update or revise any
forward-looking statements, whether written or oral, that may be
made from time to time by us or on our behalf, except as required
by applicable law.
SOURCE AM Resources Corp.