Mustang Minerals Corp. announced that it has received CAD 2.02 million in funding from Western Areas Limited and other investors.
On January 3, 2013, the company completed the flow through shares part of the transaction. The company issued 26,379,237 flow through shares for proceeds of CAD 1,714,650.41. The company also paid a finders fees of CAD 73,952.03 and issued a total of 1,137,724 finders warrants to eligible finders in connection with the issue of flow through shares. Each flow-through share finder's warrant entitles the holder to purchase one common share of the company at an exercise price of CAD 0.065 per share for a period of 18 months.
On the same date, the company closed the first tranche of non flow through shares part of the transaction. The company issued 100,000 non flow through shares for proceeds of CAD 6,000. The company paid a finders fees of CAD 480 in cash and issued 8,000 finders warrants to eligible finders in connection with the issue of non flow through shares. Each finder's warrant entitles the holder to purchase one common share of the company at an exercise price of CAD 0.06 per share for a period of 18 months.
On January 24, 2013, Mustang Minerals Corp. closed the transaction. The company issued 26,379,237 flow-through shares and 5,100,000 non flow-through shares for gross proceeds of CAD 2,020,650.41. The company announced that Western Areas Limited subscribed for a total of 5,000,000 common shares at CAD 0.06 per share for proceeds of CAD 300,000. The investor will acquire 19% equity stake in the company on completion of the transaction. The shares issued will be subject to a four month holding period. The transaction saw participation from 32 placees. As part of the transaction, Robin Dunbar invested for 1,000,000 shares, Nadim Wakeam invested for 150,000 shares, Western Areas NL invested for 5,000,000 shares. The company also paid finders fees of CAD 70,830 in cash and 1,090,308 finders' warrants payable to Loewen, Ondaatje, McCutcheon Ltd., Jennings Capital Inc. and Pope &Company Limited.