/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
VANCOUVER, BC, June 17, 2021 /CNW/ - Finlay Minerals Ltd. (TSXV:
FYL) ("Finlay" or the "Company) is pleased to announce a proposed
non-brokered private placement financing for aggregate gross
proceeds of up to $2,000,000 (the
"Private Placement"). As part of the Private Placement,
Crescat Capital LLC ("Crescat") has agreed to make a strategic
investment in the Company and will have the right and option to
participate in future financings to maintain its equity interest
for a three-year period from the closing date of the Private
Placement.
Kevin Smith, Crescat's Founder
and Chief Investment Officer stated:
"Crescat's goal, at this stage of the cycle, is to identify
and invest in a portfolio of premier exploration assets that the
majors will need to replace their reserves after a decade of
under-investment. We think Finlay is one of the most exciting
silver stories in Canada
today."
Robert Brown, President and CEO
of Finlay Minerals Ltd stated:
"Finlay management is excited about dramatically moving
forward with exploration on the Silver Hope project aided by the
strategic investment of Crescat Capital. New exploration
concepts were tested in 2020 and lead to the discovery of the new
Equity East Zone, which will be one of the targeted areas in
2021."
The Private Placement will consist of: (i) up to 11,111,111
units (each, a "NFT Unit"), at a price of $0.09 per NFT Unit, with each NFT Unit comprising
one common share of the Company (each, a "Unit Share") and
one common share purchase warrant (each, a "Unit Warrant");
and (ii) up to 8,333,333 flow-through units ("FT Units"), at
a price of $0.12 per FT Unit (the
"FT Unit Price"), with each FT Unit comprising one common
share of the Company which qualifies as a "flow-through share"
within the meaning of the Income Tax Act (Canada) and one Unit Warrant.
Each Unit Warrant shall entitle the holder thereof to acquire
one additional common share of the Company (each, a "Warrant
Share") at an exercise price of $0.135 per Warrant Share for a period of
twenty-four months from the issuance of each such Unit Warrant.
The Private Placement is subject to certain conditions,
including, but not limited to, receipt of all necessary approvals,
including the approval of the TSX-V. Further, depending on
market conditions, the Company may pay a finder's fee on a portion
of the Private Placement in accordance with the rules and policies
of the TSX-V. The Company expects to complete the Private
Placement in one or more tranches.
The net proceeds from the Private Placement will be used to fund
general and operating working capital, including Induced
Polarization geophysical surveys of the 2020 newly discovered
Equity East Zone, expansion of the soil sampling grid, geological
mapping and rock sampling, and further core drilling of priority
Equity Silver and porphyry copper type targets on the Silver Hope
Property.
The securities being offered will not be registered under the
United States Securities Act of 1933, as amended and may not be
offered or sold within the United
States absent registration or an exemption from the
registration requirements. This news release does not constitute an
offer to sell or a solicitation of an offer to buy any of the
securities in the United
States.
About Finlay Minerals Ltd.
Finlay is a TSX Venture Exchange company focused on exploration
for base and precious metal deposits in northern British Columbia. The Company's properties
are:
- the Silver Hope Property, which surrounds the
former Equity Silver Mine, includes the 2020 newly discovered
Equity East target, porphyry copper-molybdenum mineralization
discovered in 2010, along with three silver-copper mineralized
zones, in a contiguous trend with the mined-out deposits of the
former Equity Silver Mine (71 million oz. silver, 185 million lbs.
copper and 508,000 oz. gold; Reference:
http://minfile.gov.bc.ca/Summary.aspx?minfilno=093L++001).
- the ATTY Property which is contiguous to the
north side of the Kemess East deposit and adjacent to the Kemess
Underground deposit of Centerra Gold Inc., and
- the PIL Property, which is adjacent to Sable
Resource's Baker Mine, has eight known copper-gold-molybdenum
porphyry mineralized zones including several gold-silver epithermal
structural systems.
About Crescat Capital LLC
Crescat is a global macro asset management firm headquartered in
Denver, Colorado. Crescat's
mission is to grow and protect wealth over the long term by
deploying tactical investment themes based on proprietary
value-driven equity and macro models. Crescat's goal is industry
leading absolute and risk-adjusted returns over complete business
cycles with low correlation to common benchmarks. Crescat's
investment process involves a mix of asset classes and strategies
to assist with each client's unique needs and objectives and
includes Global Macro, Long/Short, Large Cap and Precious Metals
funds.
Crescat is advised by its technical consultant Dr. Quinton Hennigh on investments in gold and
silver resource companies. Dr. Hennigh became an economic geologist
after obtaining his Ph.D. in Geology/Geochemistry from the
Colorado School of Mines. He has more
than 30 years of exploration experience with major gold mining
firms that include Homestake Mining, Newcrest Mining and Newmont
Mining. Recently, Dr. Hennigh founded Novo Resources Corp. and
serves as Chairman. Among his notable project involvements are
First Mining Gold's Springpole gold deposit in Ontario, Kirkland Lake
Gold's acquisition of the Fosterville gold mine in Australia, the Rattlesnake Hills gold deposit
in Wyoming, and Lion One's Tuvatu
gold project on Fiji.
Qualified Person:
Robert Brown, P.Eng. is the
qualified person as defined by National Instrument 43-101 and has
approved the technical content of this news release.
Finlay Minerals Ltd. trades under the symbol "FYL" on the TSX
Venture Exchange. For further information and details please visit
the Company's website at www.finlayminerals.com.
On behalf of the Board of Directors,
Robert F. Brown, P.Eng.,
President CEO and Director
Neither the 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 Information: This news
release includes certain "forward-looking information" and
"forward-looking statements" (collectively, "forward-looking
statements") within the meaning of applicable Canadian securities
legislation. All statements in this news release that address
events or developments that we expect to occur in the future are
forward-looking statements. Forward-looking statements are
statements that are not historical facts and are generally,
although not always, identified by words such as "expect", "plan",
"anticipate", "project", "target", "potential", "schedule",
"forecast", "budget", "estimate", "intend" or "believe" and similar
expressions or their negative connotations, or that events or
conditions "will", "would", "may", "could", "should" or "might"
occur. Forward-looking statements in this news release include
statements regarding, among others, the anticipated closing of the
Private Placement, the anticipated size of the Private Placement in
one or more tranches, the anticipated size of the Private
Placement, the participation by Crescat and equity ownership of
Crescat, the receipt of approval from the TSX Venture Exchange, the
expected use of proceeds from the Private Placement and the
exploration plans for the Company's properties.
Although Finlay believes the expectations expressed in
such forward-looking statements are based on reasonable
assumptions, such statements are not guarantees of future
performance and actual results or developments may differ
materially from those forward-looking statements. Factors that
could cause actual results to differ materially from those in
forward-looking statements include market prices, exploration
successes, and continued availability of capital and financing and
general economic, market or business conditions. These
forward-looking statements are based on a number of assumptions
including, among other things, assumptions regarding general
business and economic conditions, the timing and receipt of
regulatory and governmental approvals, the ability of Finlay and
other parties to satisfy stock exchange and other regulatory
requirements in a timely manner, the availability of financing for
Finlay's proposed transactions and programs on reasonable terms,
and the ability of third party service providers to deliver
services in a timely manner. Investors are cautioned that any such
statements are not guarantees of future performance and actual
results or developments may differ materially from those projected
in the forward-looking statements. Finlay does not assume any
obligation to update or revise its forward-looking statements,
whether as a result of new information, future or otherwise, except
as required by applicable law.
SOURCE Finlay Minerals Ltd.