Kalo Gold Announces Closing Of $10.843 Million First Tranche Of Life Offering And Concurrent Private Placement

Executive Summary

• Kalo Gold Corp. closed the first tranche of two non‑brokered private placements, raising a total of $10,483,000 in gross proceeds.
• Units were sold at $0.32 per unit, each consisting of one common share and half a warrant exercisable at $0.50 for up to 36 months (with acceleration provisions).
• Net proceeds are earmarked for drilling and exploration on the Vatu Aurum Project plus working capital, marketing, and general corporate purposes.

Key Details

• LIFE Offering: 7,648,750 units sold → $2,447,600 gross proceeds.
• Concurrent Offering: 25,110,625 units sold → $8,035,400 gross proceeds.
• Total aggregate proceeds: $10,483,000.
• Unit composition: 1 common share + ½ warrant; warrant exercise price $0.50, term 36 months.
• Warrant acceleration trigger: If TSXV share price > $0.75 for 20 consecutive trading days, expiry may accelerate to 30 days after notice.
• Hold periods: LIFE Offering securities – no hold period for Canadian investors; warrants not exercisable within 60 days. Concurrent Offering securities – 4‑month hold period under Canadian law.
• Finder’s fees: $117,684 paid; 367,762 finder’s warrants issued (same terms as offering warrants).
• Use of proceeds: Drilling and exploration on Vatu Aurum Project; working capital; marketing; general corporate purposes.
• Related party transaction: One insider purchased approximately C$500,000 of units; exemption relied upon under MI 61‑101 (fair market value ≤ 25% of market cap).
• Regulatory notes: Securities not registered in the U.S.; offering restricted to non‑U.S. persons per Regulation S. Additional tranches may be completed pending TSXV and other approvals.

Notable Quotes

• “The successful closing of these financing rounds provides us with the capital needed to advance our Vatu Aurum Project and continue building shareholder value.” – Terry L. Tucker, President & CEO.