WestMountain Gold, Inc. Announces $10.1 Million Purchase Agreement with Lincoln Park Capital Fund, LLC
November 26 2013 - 5:30PM
Business Wire
WestMountain Gold, Inc. (OTCQB:WMTN), an emerging mineral
exploration company, announced today that it has entered into a
purchase agreement with Lincoln Park Capital Fund, LLC (“LPC”), a
Chicago-based institutional investor, whereby LPC has committed to
invest up to $10.1 million of its common stock over a 24-month
term.
Upon signing the agreement, LPC invested $100,000 in
WestMountain at a price of $.88 per share as an initial purchase
under the agreement. Thereafter, at its sole discretion,
WestMountain has the right to sell to LPC up to an additional $10
million of its common stock, subject to certain conditions, which
include the effectiveness of a registration statement with the U.S.
Securities and Exchange Commission covering the sale of the shares
that may be issued to LPC.
There are no upper limits to the price LPC may pay to purchase
WestMountain common stock and the purchase price of the shares
related to any future investments will be based on the prevailing
market prices of the Company’s shares immediately preceding the
notice of sale to LPC. WestMountain controls the timing and amount
of any future investment and LPC is obligated to make such
purchases. LPC has agreed not to cause or engage in any manner
whatsoever, any direct or indirect short selling or hedging of the
Company’s shares of common stock. The agreement may be terminated
by the Company at any time, at its sole discretion, without any
cost or penalty. The proceeds from this investment will be used for
general and administrative expenses and working capital.
A more detailed description of the agreement is set forth in the
Company’s Current Report on Form 8-K recently filed with the SEC
which the Company encourages be reviewed carefully.
This press release does not constitute an offer to sell or a
solicitation of an offer to buy the securities in this offering,
nor will there be any sale of these securities in any jurisdiction
in which such offer solicitation or sale are unlawful prior to
registration or qualification under securities laws of any such
jurisdiction.
About WestMountain Gold, Inc.
WestMountain Gold, Inc. (OTCQB:WMTN) is an exploration company
that explores, acquires, and develops advanced stage properties.
The Company has rights to a joint venture in a high-grade gold
system in the resource definition phase. The WestMountain property
consists of 344 Alaska state mining claims covering 223 square
kilometers. All government permits and reclamation plans for
continued exploration through 2014 were renewed in 2010. TGC is a
joint venture partner of Corvus Gold, Inc. (“Corvus”) on this
project. TGC has the right to earn a 51% interest in the Terra
Project from Corvus by spending a total of USD $6.0 million by
December 31, 2013. TGC can further increase its ownership to 80%
with an additional USD $3.05 million investment, bringing to a
total of USD $9.05 million capital investment by December 31, 2014.
Additional details are available at www.westmountaingold.com.
About Lincoln Park Capital
(“LPC”)
LPC is an institutional investor headquartered in Chicago,
Illinois. LPC’s experienced professionals manage a portfolio of
investments in public and private entities. These investments are
in a wide range of companies and industries emphasizing life
sciences, specialty financing, energy and technology. LPC’s
investments range from multiyear financial commitments to fund
growth to special situation financings to long-term strategic
capital offering companies certainty, flexibility and consistency.
For more information, visit www.lpcfunds.com.
Safe Harbor Statement Some statements contained in this
news release are forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended, and,
therefore, involve uncertainties or risks that could cause actual
results to differ materially. These statements may contain words
such as "desires," "believes," "anticipates," "plans," "expects,"
"intends," "estimates" or similar expressions. These statements are
not guarantees of the Company's future performance and are subject
to risks, uncertainties and other important factors that could
cause its actual performance or achievements to differ materially
from those expressed or implied by these forward-looking
statements. Additional information regarding factors that could
cause results to differ materially from management's expectations
is found in the Company’s SEC filings. The Company intends that the
forward-looking statements contained herein be subject to the
above-mentioned statutory safe harbors. Investors are cautioned not
to rely on forward-looking statements. The Company disclaims any
obligation to update forward-looking statements.
WestMountain Gold, Inc.Greg Schifrin, 208-265-1717Chief
Executive OfficerCell:
208-290-1180gschifrin@westmountaingold.com
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