Purecore plans up to C$2.5 million private placement

Purecore Metals Inc. said on Oct. 2 that it intends to complete a non-brokered private placement for gross proceeds of up to C$2.5 million. The company said the financing will be made up of hard dollar units and flow-through units, with the mix depending on the final offering.

The hard dollar units are priced at C$1.35 each. Each one includes a common share and a warrant, and each warrant allows the holder to buy one warrant share at C$2.00 for 36 months from the applicable closing date, subject to an acceleration feature.

The flow-through units are priced at C$1.50 each. Each unit includes one common share issued as a flow-through share under the Income Tax Act (Canada) and one warrant. Those warrants also carry a C$2.00 exercise price and a 36-month term from the closing date, again subject to acceleration.

Under that acceleration provision, if the closing price of the common shares on the Canadian Securities Exchange reaches at least C$2.50 for 10 consecutive trading days after four months and one day have passed from the closing date, the company may shorten the warrant expiry by news release. Any unexercised warrants would then expire at 5:00 p.m. Vancouver time on the 30th day after that notice.

Purecore said it may pay finder’s fees to eligible arm’s length finders, and that completion of the financing still depends on customary closing conditions and other corporate and regulatory requirements, including the policies of the Canadian Securities Exchange. Securities issued in the offering will be subject to a four-month hold period under Canadian securities laws and CSE policy.

The company said net proceeds from the hard dollar units are expected to fund mineral exploration, property-related expenditures and acquisitions, and general corporate and working capital purposes, including marketing and investor relations. The gross proceeds tied to the flow-through shares will be used for eligible Canadian exploration expenses intended to qualify as flow-through mining expenditures or flow-through critical mineral mining expenditures, and Purecore said it intends to renounce qualifying expenditures to subscribers with an effective date no later than Dec. 31, 2026.

Purecore describes itself as a Canadian mineral exploration company focused on uranium and copper assets.