Very significant OR with updates re management and increased PP
FURA ANNOUNCES AGM RESULTS AND UPSIZE OF PRIVATE PLACEMENT
Fura Gems Inc. has provided the results of its annual general and special meeting of shareholders (the AGM) held on Friday, Aug. 2, 2019, in Toronto, Canada.
Approving the creation of new "Control Persons" (as that term is defined under TSX Venture Exchange ("TSXV") Policy 1.1 {&#A A ; –} Interpretation), as more particularly described in the Circular; and
Approving Lord of Seven Hills Holdings FZE's participation in the Upsized Offering (defined below) as a "related party transaction" pursuant to Multilateral Instrument 61-101 {&#A A ; –} Protection of Minority Security Holders in Special Transactions, as more particularly described in the Circular..
Dev Shetty, President & CEO of Fura, commented:
"We are pleased that our shareholders approved Lord of Seven Hills Holdings FZE's participation in the ongoing Upsized Offering. We expect that, upon completion, the capital raise will help Fura accelerate our operations in Colombia and Mozambique and move the Company along the path to revenue generating mining operations."
Private Placement Upsize
As a result of increased investor demand, the Company is increasing its previously announced private placement of Fura common shares (the "Shares") from total gross proceeds of $30,375,000 to $33,337,500 (the "Upsized Offering").
The net proceeds of the Upsized Offering are expected to be used for: (i) the advancement of Fura's Coscuez emerald project in Colombia and ruby assets in Mozambique, (ii) the closing of the Company's ongoing acquisition of a 100% interest in ruby prospecting licence No. 5572L in the Montepuez District of Cabo Delgado province in Mozambique previously announced on July 26, 2018, (iii) the closing of the merger of ruby assets transaction first announced on July 16, 2018 respecting the Company's acquisition of (A) 75% of the issued shares of Montepuez Minerals Pty Ltd., which owns a 70% interest in mining licence 5030L, and an 80% interest in mining concession 8921C; and (B) a right to earn a 65% interest in mining concession 8955C under a joint venture agreement, and (iv) general corporate purposes.
The closing of the Upsized Offering may occur in one or more tranches, with the closing of the first tranche expected to occur on or about August 16, 2019 and remains subject to receipt of all necessary regulatory approvals, including the approval of the TSXV. Fura is not paying any finder's fees in connection with the Upsized Offering.
The Shares issued pursuant to the Upsized Offering will be subject to a regulatory hold period of four months and one day.
Further to the Company's press releases dated September 17, 2018 and November 29, 2018, the Company confirms that C$4,752,124 of the net proceeds raised from the previously announced private placement that closed in September 2018 was not used to complete the closing of the Merger of Ruby Assets Agreement dated July 14, 2018, as amended, but was used for general corporate purposes and developing its current mining assets.
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