UrbanGold Announces Closing of Private Placement with Palisades Goldcorp

UrbanGold Minerals Inc. has closed a non-brokered private placement for $1,000,000 with Palisades Goldcorp Ltd. by issuing 4,166,667 units of the company priced at $0.24 per Unit. The units are comprised of one (1) common share of the Company and one (1) Common Share purchase warrant. Each Warrant entitles the holder thereof to purchase one Common Share for $0.36 expiring 36 months from the date of the closing of the Private Placement. The Units are subject to a four month hold period from the date of the closing of the Private Placement. Completion of the Private Placement is subject to regulatory approval including, but not limited to, the approval of the TSX Venture Exchange.

The Company will use the proceeds for working capital purposes. There was no commission payable on the Private Placement.

The Private Placement securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "1933 Act"), or under any state securities laws, and may not be offered or sold, directly or indirectly, or delivered within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the 1933 Act) absent registration or an applicable exemption from the registration requirements. This news release does not constitute an offer to sell or a solicitation to buy such securities in the United States.

The Company further announces that Jens Eskelund-Hansen has stepped down as Chairman of UrbanGold for personal reasons effective September 10, 2020, but will continue as a director for the Company. 

"On behalf of UrbanGold and the Board of Directors, I would like to thank Jens for his contributions as Founder and Chairman of the Company. We look forward to continue working closely with him as Director for UrbanGold," said Mathieu Stephens, President and CEO.

About Palisades Goldcorp

Palisades Goldcorp is Canada's new resource focused merchant bank. Palisades' management team has a demonstrated track record of making money and is backed by many of the industry's most notable financiers. With junior resource equities valued at generational lows, management believes the sector is on the cusp of a major bull market move. Palisades is positioning itself with significant stakes in undervalued companies and assets with the goal of generating superior returns.

About UrbanGold

UrbanGold Minerals Inc. is a precious metals exploration company with its activities focused in key gold prospective areas of Quebec. The Company specializes in project generation supported by substantial exploration expertise. The Company's common shares trade on the TSX Venture Exchange under the symbol "UGM".

Tags: Quebec / Exploration / Gold / All Articles