Western Uranium & Vanadium Corp. (CSE: WUC) (OTCQX: WSTRF) (“Western” or the ”Company”) is pleased to announce the closing of a second and final tranche of its non-brokered private placement (the “Private Placement”) (please refer to the news release issued by Western on April 17, 2019 for details on the first tranche of the Private Placement). At this closing, the Company raised gross proceeds CAD$188,432through the issuance of 192,278 units (the ”Units”) at a price of CAD$0.98 per Unit. The total raised in the two tranches of this Private Placement of 4,106,910 Units is therefore CAD$4,024,772. Western used 100% of the overallotment option to issue the maximum quantity of authorized units to satisfy investors' oversubscription demand.
Each Unit consists of one common share of Western (a "Share") plus one-half (1/2) common share purchase warrant of Western (each whole warrant, a “Warrant”). Each Warrant shall entitle the holder to purchase one Share at a price of CAD$1.70 per Share for a period of three years following the closing date of the Private Placement. A total of 192,278 Shares and 96,139 Warrants were issued in this second tranche.
The Warrants contain a provision that if the Company’s Shares trade at or above CAD$3.00 per Share for 10 consecutive trading days, the Company may, at any time after the expiry of the applicable statutory hold period, accelerate the expiration of the Warrants upon not less than 30 days’ written notice by the Company.
This final tranche represents the completion of the Private Placement which achieved its primary purpose to fully fund the previously announced Sunday Mine Complex Vanadium Project (see the news release issued by the Company on March 13, 2019).
Securities issued pursuant to the Private Placement shall be subject to a statutory six (6) month and one day hold period. The closing of the Private Placement remains subject to final regulatory approval.
The securities offered and sold have not been and will not be registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.