Reverse Merger
Mistake in previous post. Reverse merger was with White Bear Resources Inc. (“WBR”)
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On April 4, 2014, the Company and WBR completed a reverse take-over transaction through the
closing of a share exchange agreement dated February 27, 2014. Under the terms of the
agreement, WBR issued 12,000,000 common shares and 900,000 stock options for the 12,000,000
issued and outstanding shares and 900,000 outstanding stock options in the Company,
respectively. Upon closing of the reverse take-over, the Company became a wholly owned
subsidiary of WBR and the shareholders of the Company acquired control of WBR.
In connection with the closing of the reverse take-over, WBR completed a non-brokered private
placement financing, pursuant to which it issued an aggregate of 12,351,000 units, at a price of
$0.25 per unit, for total gross proceeds of $3,087,750. Each unit comprises one common share and
one-half of one share purchase warrant, with each share purchase warrant exercisable into one
common share at an exercise price of $0.40 per share until October 4, 2015. In connection with the
financing, WBR paid aggregate cash finders' fees of $128,000 and issued an aggregate of 640,000
broker warrants, having the same terms and conditions as the warrants, to certain finders.
