General Moly receives deficiency letter from NYSE
General Moly Inc. has received a deficiency letter from the NYSE American stock exchange, indicating that the company is below compliance with Section 1003(a)(i) (requiring stockholders’ equity of $2-million or more if it has reported losses from continuing operations and/or net losses in two of its three most recent fiscal years), Section 1003(a)(ii) (requiring stockholders’ equity of $4-million or more if it has reported losses from continuing operations and/or net losses in three of its four most recent fiscal years) and Section 1003(a)(iii) (requiring stockholders’ equity of $6-million or more if it has reported losses from continuing operations and/or net losses in its five most recent fiscal years) of the NYSE American company guide.Read More
The exchange indicated that its review showed that the company reported a stockholders’ deficit as of June 30, 2020, and losses from continuing operations for its five most recent fiscal years ended Dec. 31, 2019.
Accordingly, the company must submit to the exchange, no later than Sept. 30, 2020, a plan of compliance to address how it intends to regain compliance with Section 1003(a)(i), Section 1003(a)(ii) or Section 1003(a)(iii) of the company guide by Feb. 28, 2022. If the company does not submit a plan of compliance, or if the plan is not accepted by the exchange, the company’s common stock will be subject to delisting procedures as set forth in Section 1010 and Part 12 of the company guide. If the plan is accepted by the exchange, the company will be subject to periodic reviews including quarterly monitoring for compliance with the plan.
If the company is not in compliance with the exchange’s continued listing standards of Section 1003(a)(i), Section 1003(a)(ii) or Section 1003(a)(iii) by Feb. 28, 2022, or does not make progress consistent with the plan during the compliance period, the exchange will initiate delisting proceedings.
The company has had a conversation with the exchange regarding whether and to what extent it can submit a plan of compliance based on current facts and circumstances. The company cannot assure that it will submit a plan or, if it submits a plan, such plan will be accepted. The company’s common stock will continue to trade on the exchange during the period of non-compliance unless and until the exchange delists it. Receipt of the letter does not affect the company’s Securities and Exchange Commission reporting requirements. The company has a significant working capital deficit and there remains substantial doubt about the company’s ability to continue as a going concern. If the company is unable to find an additional source of financing, it will be forced to cease operations and pursue restructuring or liquidation alternatives, including the filing for bankruptcy protection, in which event the company’s common stock would likely become worthless and investors would likely lose their entire investment in the company. In addition, holders of the company’s outstanding convertible preferred stock and senior notes would likely receive significantly less than the principal amount of their claims and possibly no recovery at all. As of the date of this news release, the company has no commitments for additional financing and there can be no assurance that the company will be successful in obtaining the financing required to complete the Mt. Hope project or in raising additional financing in the future on terms acceptable to the company or at all.
Allegiant grants 200,000 RSUs to two directors
Allegiant Gold Ltd. has granted an aggregate of 200,000 restricted share units (RSUs) to two directors of the company. The RSUs have a three-year vesting period in accordance with the company’s 2020 RSU plan, which was approved by shareholders at the annual general meeting held on May 19, 2020.
Alpha Lithium prospectus offering
Alpha Lithium Corp. has closed its financing pursuant to its final short form prospectus dated Aug. 28, 2020, which was filed with and accepted by the TSX Venture Exchange, and filed with and receipted by the securities commissions of each of the provinces of British Columbia, Alberta and Ontario, on Aug. 28, 2020, pursuant to the provisions of the applicable securities acts.Read More
The TSX Venture Exchange has been advised that the offering closed on Sept. 2, 2020, for gross proceeds of $5.75-million (which includes the exercise of the overallotment option defined below).
Agent: Leede Jones Gable Inc. (the underwriter)
Offering: 7,692,310 units (Each unit consists of one common share of Alpha Lithium and one common share purchase warrant, where each warrant entitles the holder to acquire one additional share at a price of 80 cents per common share for a period of 24 months following closing, subject to adjustment in certain circumstances.)
Unit price: 65 cents
Underwriter’s commission: The underwriter received a commission equal to 7 per cent of the gross proceeds of the offering, including the overAllotment, being $402,500.
Agent’s warrants: The underwriter received non-transferable options exercisable for a period of 24 months to acquire that number of common shares that is equal to 7 per cent of the number of units sold under the offering (including the amount subscribed for pursuant to the exercise of the overallotment option).
Overallotment option: The underwriter was granted an option to purchase up to an additional 1,153,846 units at the offering price for a period of up to 30 days from the closing of the offering. The overallotment option has been exercised.
Southern Silver subscription receipt private placement
The TSX Venture Exchange has accepted for filing documentation with respect to a brokered private placement announced June 22, 2020.Read More
Number of securities: 50 million subscription receipts
Purchase price: 20 cents per subscription receipt
Terms of the securities: Each subscription receipt shall be exchangeable, for no additional consideration, into one unit upon the satisfaction of certain escrow release conditions. Each unit will consist of one common share and one-half of one share purchase warrant, with each full warrant exercisable to purchase one additional common share at a price of 25 cents during the first year, increasing to 30 cents in year 2 and 35 cents in year 3 following the closing date of the offering. Escrow release conditions must be satisfied by Dec. 31, 2020, and relate to the closing of a concurrent transaction (separate filing to follow).
Warrants: 25 million share purchase warrants to purchase 25 million shares
Warrant initial exercise price: 25 cents
Warrant term to expiry: three years
Number of placees: 138 placees
Insiders: Arie Page, 50,000; Graham Thatcher, 100,000
Total pro group involvement: 75,000 (one placee)
Agents’ fees: Red Cloud Securities Inc., $350,673.86 cash and 1,778,613 warrants; Canaccord Genuity Corp., 700,000 shares and 1.05 million warrants; Haywood Securities Inc., $124,269.10 cash and 630,675 warrants; Cormark Securities Inc., $46,402.53 cash and 254,087 warrants; BBS Securities Inc., $525 cash and 2,625 warrants; Canaccord Genuity Corp., $350 cash and 1,750 warrants; Echelon Wealth Partners Inc., $2,450 cash and 12,250 warrants; PI Financial Corp., $13,300 cash and 66,500 warrants; Sightline Wealth Management LP, $700 cash and 3,500 warrants
Agent’s warrant initial exercise price: 20 cents
Agent’s warrant term to expiry: three-year term
Note that in certain circumstances the exchange may later extend the expiry date of the warrants, if they are less than the maximum permitted term.
Plateau hires Hersh for Falchani advisory services
Plateau Energy Metals Inc. has engaged Emily Sarah Hersh of DCDB Group to provide consulting and advisory services related to seeking strategic investment partners for Plateau’s Falchani lithium project in Peru.Read More
The Company has entered into a “shares for services agreement” effective September 1, 2020 with Foxrock Investment (“Foxrock”), a subsidiary of DCDB Group, pursuant to the provisions of Policy 4.3 from the TSX Venture Exchange (the “Exchange”). Under the terms of the agreement, Foxrock, at Plateau’s election, will receive up to 100% of the monthly consulting fee through the issuance of Plateau common shares, which shares will be issued at a deemed price per share equal to the greater of either: 1) the volume weighted average price of Plateau’s shares as traded on the Exchange calculated at the end of each month; or 2) the closing price of the last day of trading in each month in which the services are provided. The shares would be issued quarterly during the term of the 12-month agreement, and the agreement is subject to Exchange acceptance.