Bayhorse closes $374,040 first tranche of financing

Executive Summary

• Bayhorse Silver Inc. closed the first tranche of its up‑to‑25 million‑unit private placement, issuing 9,351,000 units for gross proceeds of $374,040.
• Proceeds are allocated to an IP survey on the Pegasus project (48%), final mine permitting (31%), and general & administrative expenses (21%).
• CEO Graeme O’Neill and CFO Rick Low subscribed to a combined 8,375,000 units, constituting a related‑party transaction exempt from MI 61‑101 valuation/approval thresholds.

Key Details

• Units Issued: 9,351,000 units (each unit = 1 common share + 1 transferable warrant).
• Gross Proceeds: $374,040.
• Warrant Terms: Exercise price $0.06 per common share; exercisable for 24 months from issuance.
• Use of Proceeds:
• IP (induced polarization) survey on Pegasus project – 48% of funds.
• Advancement of final Bayhorse mine permitting – 31% of funds.
• General and administrative expenses – 21% of funds.
• Insider Participation:
• CEO Graeme O’Neill subscribed for 8,000,000 units (financed via TSX‑V private sales).
• CFO Rick Low subscribed for 375,000 units.
• Transaction qualifies as a related‑party transaction under NI 61‑101 and is exempt because neither the fair market value nor consideration exceeds 25% of market cap.
• Finders’ Fees: May be payable on any portion of the financing not taken up by insiders, per TSX‑V policy.
• Hold Period: Securities issued are subject to a hold period expiring January 16, 2026.
• Incentive Stock Options: Company granted 2.6 million ISOs to officers, directors, consultants and employees, exercisable at $0.06 for five years, replacing 3,075,000 expiring options.

Notable Quotes

(No direct quotes were provided in the release.)