Apollo Silver Corp. (“Apollo Silver” or the “Company”) (TSX.V:APGO, OTCQB:APGOF, Frankfurt:6ZF0) is pleased to announce that the Company has closed the first tranche, representing the majority of its previously announced larger unbrokered private placement (the “Upsized Offering”), raising gross proceeds through the issuance of $25,134,145 has been raised. of 6,981,707 units (the “Units”) of the Company at a price of $3.60 per Unit. The Upsized Offering totals $26,775,648, with the final tranche of 455,973 Units with gross proceeds of $1,641,503 expected to close in the coming days.
Each Unit issued pursuant to the Grand Offer consists of one common share (a “Share”) in the capital of the Company and one common Share Purchase Warrant (a “Warrant”). Each Warrant entitles the holder to purchase one Share at an exercise price of $5.50 for 24 months from the closing date of the Offering. The Warrants will be subject to an acceleration provision so that if at any time after the date that is four months and one day after the closing, the Company’s Shares are trading on the TSX Venture Exchange (the “TSXV”) at a closing price of $7.50 or more per Share for a period of ten (10) consecutive trading days, the Company may accelerate the expiration of the Warrants by giving notice to their holders and, in that case, to the Warrants. expires on the thirtieth (30th) day after the date of such notice (the “Acceleration Provision”)
In connection with entries received in the first tranche of the Upsized Offering, the Company will pay aggregate finder’s fees totaling $826,549, payable in cash and/or Units to BMO Capital Markets, Canaccord Genuity, Red Cloud Securities Inc., Research Capital Corporation and SCP Resource Finance.
The securities issued under the Upsized Offer are subject to a holding period of four months from the closing date. The Company intends to use the net proceeds from the Upsized Offering to further advance the Calico Silver Project in San Bernardino, California; supporting community relations initiatives at the Cinco de Mayo Silver Project in Chihuahua, Mexico; coverage of ongoing property maintenance costs for both projects; and for general business purposes. The Upsized Offering remains subject to final approval by the TSXV.
The Offering included the participation of certain Company insiders for an aggregate of 405,557 units, for aggregate gross proceeds of $1,460,005.20. Such participation constitutes a “related party transaction” under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The issuance of securities to insiders is exempt from the valuation requirement under section 5.5(b) of MI 61-101, as the Company’s shares are not listed on a specific market, and from the minority shareholder approval requirement under section 5.7(a) of MI 61-101, as the fair market value of the securities issued to related parties does not exceed twenty-five percent of the Company’s market capitalization.
The Shares have not been and will not be registered under the United States Securities Act of 1933, as amended (the “US Securities Act”), or any US securities laws, and may not be offered or sold in the United States absent registration under the US Securities Act and any applicable state securities laws or compliance with the requirements of any applicable exemption therefrom. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in the United States nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
About Apollo Silver Corp.
Apollo is advancing one of the largest undeveloped primary silver projects in the US. The Calico project hosts a large, bulk mineable silver deposit with significant barite and zinc credits – recognized as critical minerals essential to the U.S. energy and medical sectors. The company also has an option on the Cinco de Mayo project in Chihuahua, Mexico, which hosts a large carbonate replacement (CRD) deposit that is both high-grade and large. Led by an experienced and award-winning management team, Apollo is well positioned to advance its assets and deliver value through exploration and development.
Visit www.apollosilver.com for more information.
ON BEHALF OF THE BOARD OF DIRECTORS
Ross McElroy
Chairman and CEO
For more information please contact:
E-mail: info@apollosilver.com
Phone: +1 (604) 428-6128
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 release.
Cautionary Note Regarding “Forward-Looking” Information
This press release contains “forward-looking statements” and “forward-looking information” within the meaning of Canadian securities legislation. All statements in this press release, other than statements of historical fact, are forward-looking statements, including, but not limited to, statements regarding the expected timing of the completion of the remaining balance of the Upsized Offering; and the intended use of the proceeds of the Grand Offering. Forward-looking statements include and often are, but are not, forecasts, projections and predictions always, identified Through the usage by words one like that as “anticipate”, “to believe”, “plan”, “estimation”, “to expect”, “potential”, “goal”, “budget” and “plan” and statements that an event or result “may”, “will”, “should”, “could” or “might” occur or be achieved and other similar expressions, including the negatives thereof.
Forward-looking statements are based on the reasonable assumptions, estimates, analyzes and opinions of the Company’s management, made in light of its experience and perception of trends, current conditions and expected developments, as well as other factors that the Company’s management considers relevant and reasonable in the circumstances as of the date such statements are made. Forward-looking information is based on reasonable assumptions made by the Company as of the date of such information and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including But not limited to: risks associated with the exploration and development of minerals; metal and mineral prices; availability of capital; accuracy of the Company’s projections and estimates; realization of mineral resource estimates, interest rates and exchange rates; competition; fluctuations in stock prices; availability of drilling equipment and access; actual results of ongoing exploration activities; government regulation; political or economic developments; environmental risks; insurance risks; capital expenditures; operational or technical problems associated with development activities; employee relations; and changes in project parameters as plans continue Unpleasant are refined. Forward-looking statements are based on assumptions that management considers reasonable, including: But not limited Unpleasant the price by silver, gold And barite; the ask for silver, gold And barite; the ability to continue exploration and development activities; the timely receipt of any necessary approvals; the ability to obtain qualified personnel, equipment and services in a timely and cost-efficient manner; the ability to operate safely, efficiently and effectively; and the regulatory framework relating to environmental matters, and other assumptions and factors set out herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information, there may be other factors that cause results not Unpleasant are as expected, estimated or meant. There can are No security That far-sighted statements will prove to be accurate and factual, and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking information contained herein unless: in agreement of applicable effects laws. The far-sighted information contained herein is presented for the goal by assist investors in concept the Company expected financial And operational performance and the Company plans And objectives And be able to not are appropriate for other purposes. The Company do not undertake to update any forward-looking information, except as required by applicable securities laws .
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