Argentina Lithium Closes $2M Private Placement
Vancouver, BC / Marketwired / October 26, 2016 / Argentina Lithium & Energy Corp. (TSX-V: LIT, FSE: OAY1 (WKN: A0RK7E), “Argentina Lithium” or the “Company”) is pleased to announce completion of the non-brokered private placement financing of 10,000,000 units (“Units”), for aggregate gross proceeds of $2,000,000, as previously announced on September 29, 2016.
Each Unit consists of one common share and one transferrable common share purchase warrant. Each warrant entitles the holder to purchase one additional common share of the Company at $0.30 per share for two years from the date of issue, expiring on October 26, 2018.
If the volume weighted average price for the Company's shares is $0.75 or greater for a period of 10 consecutive trading days, then the Company may deliver a notice (the “Notice”) to the warrantholder that the Warrants must be exercised within twenty (20) days from the date of delivery of such Notice, otherwise the Warrants will expire at 4:30 p.m. (Vancouver time) on the twenty-first (21st) day after the date of delivery of the Notice. The accelerated exercise provision shall not apply until the expiration of the four-month hold period required under TSX Venture Exchange policies and rules, and securities laws that are applicable to the Company, being February 27, 2017.
Finder's fees of $69,617 are payable in cash on a portion of the private placement to parties at arm’s length to the Company. In addition, 348,085 non-transferable finder’s warrants are issuable (the “Finder’s Warrants”). Each Finder’s Warrant entitling a finder to purchase one common share at a price of $0.30 per share for two years from the date of issue, expiring on October 26, 2018. The Finder’s Warrants are also subject to the above accelerated exercise provisions.
The proceeds of the financing will be used for general working capital.
ON BEHALF OF THE BOARD
Nikolaos Cacos, President & CEO
For further information please contact:
Neither 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.
This news release may contain forward-looking statements. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Readers are encouraged to refer to the Company's public disclosure documents for a more detailed discussion of factors that may impact expected future results. The Company undertakes no obligation to publicly update or revise any forward-looking statements.
The securities being offered have not been, nor will they be registered under the United States Securities Act of 1933, as amended, or state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. federal and state registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.