Grid Metals Announces Strategic $4 Million Private Placement
Executive Summary
- Grid Metals Corp. announced a proposed non‑brokered private placement to raise up to C$4,027,158 in gross proceeds.
- The offering will be completed in two tranches: 14 million common shares at C$0.12 each (C$1.68 M) and a second tranche of up to 7.06 million common shares plus up to 7.575 million flow‑through (CFT) shares, targeting total proceeds of C$2.347 M.
- Proceeds are earmarked primarily for exploration at the Falcon West Cesium Property and other targets in the Bird River Belt, with additional corporate purposes; no warrants or finder's fees are attached.
Key Details
- Offering Structure
- First Tranche: 14,000,000 common shares to a strategic investor at C$0.12 per share → C$1,680,000 gross proceeds.
-
Second Tranche: Up to 7,060,903 common shares (same price) and up to 7,575,000 CFT shares at C$0.198 per CFT share → up to C$2,347,158 gross proceeds.
-
Total Potential Gross Proceeds: C$4,027,158.
-
Pricing
- Common Shares: C$0.12 each.
-
CFT Shares: C$0.198 each.
-
Closing Dates (expected)
- First Tranche: on or about October 15, 2025.
-
Second Tranche: on or about October 30, 2025.
-
Use of Proceeds
- Exploration financing for the Falcon West Cesium Project and the Bird River Belt (targeting nickel, copper, PGM).
- General corporate purposes related to the common‑share portion of the raise.
-
CFT proceeds will fund Canadian exploration expenses qualifying as flow‑through mining expenditures; Manitoba purchasers may claim a 30 % mineral exploration tax credit.
-
Hold Period: All issued securities subject to a four‑month‑plus‑one‑day hold period from issuance under applicable securities laws.
-
Investor Rights Agreement (First Tranche):
-
Grants the strategic investor information rights, participation rights in future equity issuances, and the right to nominate a board member, contingent on maintaining specified ownership thresholds.
-
Regulatory Conditions: Closing subject to customary conditions, definitive documentation, and approvals—including TSX Venture Exchange acceptance.
-
No Warrants / No Finder’s Fees attached to the offering.
-
Legal Disclaimer: Securities not registered under U.S. securities laws; cannot be offered or sold in the United States absent exemption.
Notable Quote
“Grid Metals is very excited to welcome an investment by a strategic investor to progress our Falcon West Cesium Property… We look forward to the start of drilling at Falcon West.” – Robin Dunbar, CEO