Cordoba Minerals Corp. (TSXV:CDB; OTCQB:CDBMF) announced today that it has closed the first tranche of its previously announced fully-subscribed non-brokered private placement (the “Offering”) (refer to Cordoba’s news release dated December 4, 2020). In connection with the closing of this tranche of the Offering, the Company has issued an aggregate of 61,632,749 units of the Company (the “Units”) at a price of $0.075 per Unit for gross proceeds of $4,622,456.18.
Each Unit consists of one common share of the Company (“Share”) and one Share purchase warrant (“Warrant”). Each Warrant entitles the holder, on exercise, to purchase one Share for a period of 24 months following the closing date of the first tranche of the Offering at the exercise price of $0.115 per Share.
Cordoba’s majority shareholder, High Power Exploration Inc. (“HPX”), has subscribed for 28,667,452 Units (the “Lead Order”), and as of closing of the first tranche, HPX will own approximately 58.4%.
Cordoba’s second largest shareholder, JCHX Mining Management Co., Ltd. (“JCHX”), has agreed to purchase 7,700,584 Units to maintain its 19.99% interest in the Company on a partially diluted basis. The closing of this tranche of the Offering (the “JCHX Tranche”) is subject to the receipt of customary approvals and registration with Chinese regulatory agencies. Closing of the JCHX Tranche is expected to occur before the end of February 2021.
Net proceeds from the Offering will be used to advance fieldwork supporting the completion of the Pre-Feasibility Study at the Company’s 100%-owned Alacran Copper-Gold-Silver Project in Colombia (refer to Cordoba’s news release dated November 30, 2020) and for general corporate purposes.
Please visit the Cordoba site for the complete news release.