VANCOUVER, British Columbia, Aug. 23, 2016 (GLOBE NEWSWIRE) — Naturally Splendid (TSXV:NSP) is pleased to announce that it has closed the initial tranche of its previously announced private placement financing by issuing a total of [2,902,168] units (the “Units”) for gross proceeds of [$783,585].
Each Unit is comprised of one common share of Naturally Splendid and one-half of one common share purchase warrant (“Warrant”), with each whole Warrant entitling the holder to purchase one additional common share at $0.35 per share for a period of two years from the date of the issue. Naturally Splendid will have the right to accelerate the expiry date of the Warrants if, at any time, the average closing price of Naturally Splendid’s common shares is equal to or greater than $0.45 for 10 consecutive trading days. In the event of acceleration, the expiry date will be accelerated to a date that is 30 days after Naturally Splendid issues a news release announcing that it has elected to exercise this acceleration right.
In connection with the initial tranche of the financing, Naturally Splendid paid finders a cash commission totaling $65,677 and issued a total of 135,150 finder’s warrants. Each finder’s warrant is on the same terms as the Warrants.
The securities issued under the financing will be subject to a hold period expiring on December 23, 2016 pursuant to applicable securities laws and the rules of the TSX Venture Exchange.
Proceeds of the financing will be used for product development and working capital and corporate purposes.