Metalite Announces Closing of Private Placement and Debt Settlement

Executive Summary

• Metalite Resources closed a non‑brokered private placement of 4,900,669 units at $0.15 per unit, raising $735,100 in gross proceeds.
• Net proceeds will be used for working capital and general corporate purposes; the company also settled $352,842 of indebtedness by issuing 2,352,277 common shares.
• After the financing and debt settlement, total issued and outstanding common shares increased to 10,356,459.

Key Details

• Units sold: 4,900,669 units @ $0.15 each → $735,100 gross proceeds.
• Unit composition: 1 common share + ½ warrant (each whole warrant allows purchase of one common share at $0.25 before Feb 9 2028).
• Warrant acceleration clause: May be triggered if CSE‑listed share price ≥ $0.50 for ten consecutive trading days, expiring 30 days after notice; not exercisable before four months and one day after issuance.
• Broker warrants: 86,400 broker warrants issued, each permitting purchase of one unit at $0.15 until Feb 9 2028.
• Finder’s fees: Paid cash fees totaling $12,960.
• Debt settlement: Issued 2,352,277 common shares (deemed price $0.15) to settle $352,842 owed to senior management, service providers, and advisors.
• Share count post‑transaction: 10,356,459 common shares issued and outstanding.
• Insider participation: Insiders subscribed for 133,333 units ($20,000 gross) and received 53,333 common shares in the debt settlement; treated as a related‑party transaction but exempt from formal valuation/minority approval under MI 61‑101.
• Shareholder approval: Private placement and debt settlement approved by shareholders via consent resolution on Jan 27 2026.
• Regulatory condition: Subject to final acceptance by the Canadian Securities Exchange; all securities have a hold period of four months and one day from issuance.

Notable Quotes

(No executive quotes were provided in the release.)