Euromax Resources closes first tranche of financing

Executive Summary

• Euromax Resources Ltd. has closed the first tranche of its non-brokered private placement, issuing nearly 48.8 million shares for approximately $1.59 million CAD.
• A second and final tranche of approximately 73.3 million shares is expected to close in January 2026, which would bring total gross proceeds to nearly $4 million CAD.
• The transaction involved insider participation and relies on specific regulatory exemptions from formal valuation and minority approval requirements due to related party involvement.

Key Details

• First Tranche Closing:
  • Shares Issued: 48,838,542 common shares.
  • Subscription Price: 3.25 Canadian cents (2.299 U.S. cents) per common share.
  • Gross Proceeds: $1,587,252.62 CAD ($1,123,003.12 USD).
  • Placees: Included one insider and other investors.
  • Hold Period: Four months and one day from issuance, expiring on May 1, 2026.
• Second Tranche (Expected):
  • Shares to be Issued: 73,257,815 common shares.
  • Expected Gross Proceeds: $2,380,878.99 CAD ($1,684,504.73 USD).
  • Expected Closing Date: As soon as practicable in January 2026.
• Use of Proceeds (First Tranche):
  • Salaries: 31%
  • Tax, audit and accounting fees: 15%
  • Office, administration and communications costs: 20%
  • Legal and administrative fees: 18%
  • Finance costs: 7%
  • Project working capital: 9%
  • Specific Allocations:
    • 6% of proceeds used to finance normal salary payments to non-arm's-length parties.
    • Up to 5% of proceeds may be used for investor relations activities.
• Regulatory Context:
  • Relied on exemptions from formal valuation and minority approval requirements under TSX-V Policy 5.9 and Multilateral Instrument 61-101 (sections 5.5(b) and 5.7(1)(a)) because certain placees are related parties.
  • Transaction remains subject to final acceptance by the TSX Venture Exchange.

Notable Quotes

• None provided in the text.