North Peak completes initial close of $4.38M placement

Executive Summary

• North Peak Resources Ltd. has completed the initial closing of its previously announced non-brokered private placement, raising aggregate gross proceeds of $4.38 million.
• The company issued 4.38 million equity units at a price of $1.00 per unit, with proceeds designated for drilling at the Prospect Mountain property, business development, and general administrative expenses.
• The transaction includes specific warrant terms, an acceleration clause, and cash and equity finders' fees paid to five financial advisors.

Key Details

• Gross Proceeds: $4.38 million.
• Units Issued: 4.38 million equity units.
• Price Per Unit: $1.00.
• Unit Composition: Each unit consists of one common share and one-half of one common share purchase warrant.
• Warrant Terms:
  • Each whole warrant entitles the holder to acquire one common share.
  • Exercise Price: $1.50 per share.
  • Duration: 12 months from issuance (subject to acceleration).
  • Acceleration Provision: If common shares trade at or above a volume-weighted average price of $2.00 for 20 consecutive trading days, the company may accelerate the expiry date to 30 days from the notice of acceleration.
• Use of Proceeds:
  • Continue drilling at the flagship Prospect Mountain property in Eureka, Nevada.
  • Continued business development.
  • General and administrative expenses.
• Hold Period: Four-month hold period on securities issued, in accordance with applicable securities laws.
• Finders' Fees (Cash): 6% of aggregate sales, paid to:
  • Haywood Securities Inc.: $36,000
  • Canaccord Genuity Corp.: $29,700
  • Integral Wealth Securities Ltd.: $24,000
  • Red Cloud Securities Inc.: $13,800
  • Research Capital Corp.: $1,500
• Finders' Warrants: 6% of units sold, non-transferable, exercise price of $1.00 per share, expiring 12 months from issuance (subject to acceleration), issued to:
  • Haywood Securities: Warrants to purchase 36,000 common shares.
  • Canaccord Genuity: Warrants to purchase 29,700 common shares.
  • Integral Wealth Securities: Warrants to purchase 24,000 common shares.
  • Red Cloud Securities: Warrants to purchase 13,800 common shares.
  • Research Capital: Warrants to purchase 1,500 common shares.

Notable Quotes

• No direct quotes from management were included in the provided text.