Arcus increases financing, to roll back shares

Executive Summary

• Arcus Development Group Inc. is increasing the size of its continuing private placement to a maximum of $1.65 million, subject to TSX Venture Exchange acceptance.
• The financing will close concurrently with a 1-for-10 share consolidation, resulting in a total of 13,221,140 common shares issued and outstanding post-transaction.
• Proceeds will be used for general working capital and to finance exploration work at the company's wholly owned Touleary project in the Yukon's White Gold district.

Key Details

• Total Financing Size: Increased to a maximum of $1.65 million.
• Share Consolidation: 1 postconsolidation common share for every 10 existing common shares.
• Pre-Financing Share Count: 7,387,807 common shares (issued after consolidation, prior to financing closing).
• Post-Financing Share Count: 13,221,140 common shares issued and outstanding.
• Tranche 1 Details:
  • Offering Size: $500,000.
  • Price: 25 cents per unit.
  • Composition: One common share and one share purchase warrant per unit.
  • Warrant Terms: Entitles holder to purchase one share for 2 years at an exercise price of 40 cents per share.
  • Quantity: Up to 2,000,000 postconsolidation shares and up to 2,000,000 warrants.
• Tranche 2 Details:
  • Offering Size: $1.15 million.
  • Price: 30 cents per unit.
  • Composition: One common share and one share purchase warrant per unit.
  • Warrant Terms: Entitles holder to purchase one share for 2 years at an exercise price of 40 cents per share.
  • Quantity: Up to 3,833,333 postconsolidation shares and up to 3,833,333 warrants.
• Use of Proceeds: General working capital and financing work at the Touleary project (White Gold district, Yukon).
• Listing Status: Application to list common shares on the TSX Venture Exchange as a Tier 2 company concurrently with the consolidation and financing.