Consolidated Woodjam Copper Closes Private Placement
Vancouver, B.C. - TheNewswire - October 13, 2020 – Consolidated Woodjam Copper Corp. (TSXV:WCC) (“Woodjam” or the “Company”) announces that it has closed the private placement announced on September 3, 2020 and again on September 22, 2020.
Closing consisted of the issuance of 7,870,000 non flow through units at a price of $0.10 per unit and 4,258,331 flow through shares at a price of $0.12 per flow through share, for total consideration of $1,298,000. Each unit consists of one common share and one share purchase warrant (the “Warrant”), with each Warrant entitling the holder to purchase one additional common share at a price of $0.15 until October 2, 2021. The proceeds will be used by Woodjam Copper to finance an exploration program at its 100% owned Woodjam project and for general working capital.
Woodjam paid a cash fee totaling $49,200 and issued 451,700 Warrants to arm’s-length finders in connection with this private placement.
All of the securities issued pursuant to this private placement, including any shares issued pursuant to the exercise of the Warrants forming part of the units, are subject to a hold period which expires on February 3, 2021.
Glen Garratt, an insider of the company, purchased 100,000 flow through common shares pursuant to the private placement, on the same terms as arm length investors. The participation of Mr. Garratt constitutes a related party transaction as defined under Multilateral Instrument 61-101. The company is exempt from the requirements to obtain a formal valuation or minority shareholder approval in connection with the private placement under sections 5.5(a) and 5.7(1)(a) of MI 61-101, as neither the fair market value of the securities issued to Mr. Garratt nor the fair market value of the consideration for the securities issued to Mr. Garratt exceeds 25 per cent of the company's market capitalization as calculated in accordance with MI 61-101. The company did not file a material change report more than 21 days before the expected closing date of the private placement as the aforementioned insider participation had not been confirmed at that time and the company wished to close the private placement as expeditiously as possible.
About Woodjam Copper
Woodjam Copper (TSX-V: WCC) trades on the TSX Venture Exchange and owns a 100% interest in the 64,000 hectare Woodjam copper gold porphyry project located in south-central British Columbia approximately 50 km east of the community of Williams Lake in a low elevation flat to undulating landscape, well accessed by logging roads and in close proximity to hydro power.
For more information on Woodjam please visit the Company’s website at: http://www.woodjamcopper.com
On behalf of Consolidated Woodjam Copper Corp.
David M Douglas, CPA, CA
CFO and Director