Frontier Announces Oversubscribed Flow Through Private Placement and Shares for Debt Financing
Sudbury, Ontario, November 8th, 2019 – Frontier Lithium Inc. (TSX.V: FL) (the “Company”) announces a “Shares for Debt Financing” of $22,008.56 of debt owed to Rugged Geomatics Inc, a company owned by one “arm’s length” individual. Frontier proposes to issue up to 78,602 common shares at a price of $.28. In addition to the common shares issued to the arm’s length party, Frontier will issue one-half ½ common share purchase warrant (the “Warrant”) for a total of 39,301 Warrants.
The company is also announcing that it has received interest above the previously announced $400,000, and accordingly intends to increase the amount to be raised under its non-brokered private placement offering to $478,399.88, subject to TSXV approval. All other terms of the offering remain as set out in the Company’s October 28, 2019 news release.
The company now proposes to issue 1,708,571units (“FT Unit”) at a price of $0.28 each. Each FT Unit will consist of one common share in the capital stock of Frontier (“Common Share”) issued on a flow-through basis and a ½ Common Share purchase warrant (“FT Warrant”). Each full FT Warrant will entitle the holder to purchase one Common Share at a price of $0.375 per Common Share until the date which is 24 months following the closing date of the Offering, whereupon the FT Warrants expire. The securities issued pursuant to the Offering will be subject to a four month and one day statutory hold period.