VANCOUVER, April 6, 2017 /PRNewswire/ - INCA ONE GOLD CORP. (TSXV: IO, Frankfurt: SU9.F, SSEV: IOCL) ("Inca One" or the "Company") announces that it is undertaking a non-brokered private placement for gross proceeds of up to CAD$500,000 (the "Private Placement" or "Offering"). The Company intends to close this Private Placement imminently.
The Private Placement will consist of the issuance of 3,333,333 million units (the "Units") at a subscription price of CAD$0.15 per Unit. Each Unit will be comprised of one common share of the Company (a "Share") and one transferable common share purchase warrant (a "Warrant"). Each Warrant will be exercisable to purchase an additional Share of the Company at an exercise price of CAD$0.28 for a period of 36 months from the closing date ("Closing Date").
Inca One is pleased to announce that BWBI Corp. ("BWBI") will subscribe for 2,333,333 Units for gross proceeds of $350,000 in this Private Placement. BWBI will hold approximately 3.7% of the issued and outstanding common shares of the Company post Private Placement on an undiluted basis.
"I am excited to welcome BWBI as a valuable and strategic investor dedicated to our vision for growth," commented Inca One President and CEO Edward Kelly. "This new relationship will further enhance our market presence and allow us to accelerate growth initiatives. Inca One views their investment at this time as a vote of confidence in our company and we look forward to working together to further grow our business and build shareholder value."
BWBI's management further reports: "Inca One had a transformational year in which the Company re-structured its balance sheet and ramped up their milling facility to become one of the
permitted companies for small scale miners in Peru. Under the leadership of President Pedro Pablo Kuczynski, "PPK" Peru has given needed comfort to foreign investment in the resource sector. As investors we feel comfortable in Peru, and look forward to assisting Inca One as they move into positive cash flow and have the ability to create significant shareholder value moving forward."
The proceeds from the Offering will be used for general working capital requirements. Insiders of the Company may subscribe for Units under the Private Placement. All securities issued in connection with the Private Placement will be subject to a statutory hold period of 4 months plus a day from the Closing Date in accordance with applicable securities legislation. No finder's fees will be paid in connection with this Offering. Closing of the Private Placement, is subject to the approval of the TSXV.
The securities described herein have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States unless registered under the Act or unless an exemption from registration is available.
About Inca One
Inca One is a Canadian-based mineral processing company. The Company's activities consist of the production of gold and silver from the processing of purchased minerals located in Peru. Peru is the 6th largest producer of gold in the world and the Peruvian government estimates the small scale mining sector accounts for a significant portion of all Peruvian gold production, valued at approximately US$3 billion annually. The Company purchases its minerals from government registered small-scale mining producers from various regions and processes it at its Chala One milling facility located in Chala, Southern Peru.
BWBI is a private family-owned investment firm that specializes in private and public small to mid-market companies. BWBI, or one of its subsidiaries or affiliates, has been an early-stage shareholder in resource, pharmaceutical and technology sector companies that have successfully created over $7 billion of market capitalization and $3 billion of equity and debt capital raises.
On behalf of the Board,
President and CEO
INCA ONE GOLD CORP.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.
Statements regarding the Company which are not historical facts are "forward-looking statements" that involve risks and uncertainties. Such information can generally be identified by the use of forwarding-looking wording such as "may", "expect", "estimate", "anticipate", "intend", "believe" and "continue" or the negative thereof or similar variations. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements due to factors such as: (i) fluctuation of mineral prices; (ii) a change in market conditions; and (iii) the fact that the Company has limited operating experience with its Chala plant and future operational results may not be accurately predicted based on this limited information to date. Except as required by law, the Company does not intend to update any changes to such statements. Inca One believes the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included herein should not be unduly relied upon.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
SOURCE Inca One Gold Corp.