The aggregate gross proceeds of the financing is around $2,250,000. Every unit will feature one common share and one half of one common share purchase warrant of Mega Uranium.
The holder will be allowed to purchase one common share of Mega at a price of $0.14, for a period of 18 months after the closing date.
The securities issued under the financing will be subject to a four month hold period with respect to the Canadian securities laws.
Mega Uranium may pay a commission to agents that arrange for the sale of units. The company’s insiders will have an option to buy about 15% of the financing.
The company said the financing may close in one or more tranches and completion is subject to several conditions, including the approval of the Toronto Stock Exchange. Mega will utilize the proceeds from the sale for general working capital.
Toronto-based mineral resources firm Mega Uranium has a focus on uranium properties in Australia and Canada.
