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TSX-V:
GBR
VANCOUVER, June 13, 2019 /CNW/ - Great Bear Resources
Ltd. (TSXV:GBR) ("Great Bear" or the "Company") is pleased to
announce that in connection with its previously announced bought
deal financing, the Company and a syndicate of underwriters led by
Cormark Securities Inc. ("Cormark") and including Canaccord Genuity
Corp. (collectively, the "Underwriters") have agreed to increase
the size of the previously announced financing. The Company will
now issue 1,500,000 common shares that qualify as "flow-through
shares" of the Company for the purposes of the Income Tax
Act (Canada) ("Flow-Through
Common Shares") at a price of $5.45 per Flow-Through Common Share, on a
"bought deal" private placement basis, for aggregate gross proceeds
to the Company of approximately C$8.2 million (the "Offering"). The Company
has also granted the Underwriters an option to sell up to an
additional 500,000 Flow-Through Common Shares at the offering price
up to the closing date.
The proceeds from the Offering will be used to incur "Canadian
exploration expenses" (within the meaning of the Income Tax
Act (Canada)) related to Great
Bear's projects in Ontario. The
Company will renounce these expenses to the purchasers with an
effective date of no later than December 31,
2019.
The Offering is scheduled to close on or about July 3, 2019 and is subject to certain conditions
including, but not limited to, the receipt of all necessary
regulatory and other approvals including the approval of the TSX
Venture Exchange.
Chris Taylor, President and CEO
of Great Bear said, "Interest in this placement from top tier
investors whom we are pleased to include as shareholders has
exceeded our capacity to accommodate within the terms announced on
Wednesday. We are therefore pleased to announce expansion of
the placement, and know that we will benefit from the added
flexibility this additional funding will provide at the exploration
level at Dixie."
This press release does not constitute an offer to sell or a
solicitation of an offer to buy any of the securities in
the United States. The securities
have not been and will not be registered under the United States
Securities Act of 1933, as amended (the "U.S. Securities Act"), or
any state securities laws and may not be offered or sold within
the United States or to or for the
account or benefit of a U.S. person (as defined in Regulation S
under the U.S. Securities Act) unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption
from such registration is available.
About Great Bear
Great Bear Resources Ltd. (TSX-V:
GBR) is a well financed company based in Vancouver, Canada, managed by a team with a
track record of success in the mineral exploration sector. Great
Bear holds a 100% interest, royalty free, in its flagship Dixie
property, which is road accessible year-round via Highway 105, a 15
minute drive from downtown Red
Lake, Ontario. The Red
Lake mining district is one of the premier mining districts
in Canada, benefitting from major
active mining operations including the Red Lake Gold Mine of
Newmont Goldcorp Corp., plus modern infrastructure and a skilled
workforce. Gold production from the Red Lake district does not necessarily reflect
the mineralization that may, or may not be, hosted on the Company's
Dixie property. The Dixie property covers a drill and
geophysically defined multi-kilometre gold mineralized structure
similar to that associated with other producing gold mines in the
district. In addition, Great Bear is also earning a 100%
royalty-free interest in the Pakwash, Dedee and Sobel properties,
which cover regionally significant gold-controlling structures and
prospective geology elsewhere in the Red
Lake district. All of Great Bear's Red Lake projects are accessible year-round
through existing roads.
ON BEHALF OF THE BOARD
"Chris
Taylor"
Chris Taylor, President and
CEO
Inquiries:
Tel: 604-646-8354
Fax: 604-646-4526
info@greatbearresources.ca
www.greatbearresources.ca
Forward-Looking Information
This new release may contain forward-looking statements.
These statements are based on current expectations and assumptions
that are subject to risks and uncertainties. Actual results could
differ materially because of factors discussed in the management
discussion and analysis section of our interim and most recent
annual financial statement or other reports and filings with the
TSX Venture Exchange and applicable Canadian securities
regulations. We do not assume any obligation to update any
forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE Great Bear Resources Ltd.