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1844 Resources Inc. (TSXV: EFF) ("1844" or the "Company") is pleased to announce the successful final closing of its previously announced non-brokered private placement (the "Unit Offering"), representing an important step in the Company's recapitalization strategy.
The Company has issued 12,676,633 units for total gross proceeds of $190,149.50 under the final tranche (the "Final Tranche"). Each unit consists of one common share and one common share purchase warrant (each a "Warrant"), exercisable at $0.05 for a period of 24 months following the closing date.
The initial closing, combined with this final closing, has resulted in a total of 26,372,633 units issued, generating final gross proceeds of $395,589.50
"This Final Tranche strengthens our financial position and provides added flexibility to advance our exploration at our flagship Vortex Project in the Gaspé Peninsula, Québec," said Sylvain Laberge, President & CEO of 1844. "We appreciate the support of our early investors and remain focused on long-term value creation."
An insider of the Company, (the "Insider") subscribed under the Final Tranche for 800,000 Units. Such issuance of units to the Insider constitutes a "related party transaction", as such term is defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company is relying on an exemption from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to section 5.5(a) and section 5.7(1)(a) of MI 61-101, on the basis that the participation in the Unit Offering by the Insiders does not exceed 25% of the fair market value of the Company's market capitalization. A material change report will be filed in connection with the participation of the Insider in the Final Tranche.
As part of the closing of the Final Tranche, the Company paid finder's fees totaling $420.00, representing 7% of the gross proceeds raised through such finder.
All securities issued in connection with the Final Tranche are subject to a statutory hold period of four months plus a day ending on June 7, 2026, in accordance with applicable securities legislation and policies of the TSX Venture Exchange.
The Company intends to use the net proceeds from the Unit Offering for general corporate purposes and to advance the Company's flagship Vortex/Sullipek copper project, strategically located adjacent to Osisko Metals' Gaspe copper mine development site of Canada's former largest copper operation.
About 1844 Resources Inc.
1844 is a Canadian exploration company focused on unlocking the value of strategic and energy-transition metals in the underexplored region of Gaspé, Québec. With a dedicated leadership team and a forward-looking approach, 1844 aims to deliver long-term shareholder value through discovery and disciplined growth.
For further information:
Sylvain Laberge, President & CEO
Tel: 514.702.9841
Email: slaberge@sdnlfinancial.com
FORWARD-LOOKING INFORMATION
Some of the statements contained in this press release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information can be identified by the use of words such as "expects", "intends", "is expected", "potential", "suggests" or variations of such words or phrases, or statements that certain actions, events or results "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements and information are not historical facts and are subject to a number of risks and uncertainties beyond the Company's control. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.
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