16:45:13 EDT Sat 10 Jun 2023
Enter Symbol
or Name

Avanti Helium Corp
Symbol AVN
Shares Issued 58,223,382
Close 2022-10-21 C$ 0.55
Recent Sedar Documents

Avanti Helium closes $6.44-million unit offering

2022-10-24 12:31 ET - News Release

Mr. Chris Bakker reports


Avanti Helium Corp. has closed its previously announced overnight marketed best efforts public offering of units of the company at a price of 66 cents per unit for aggregate gross proceeds of $6.44-million. Each unit consists of one common share in the capital of the company and one transferable common share purchase warrant. Each warrant entitles the holder to purchase one common share at an exercise price of 80 cents until Oct. 24, 2024. The agents (as defined herein) exercised in full the 15-per-cent overallotment option granted to them in conjunction with today's closing of the offering, for a total of 9,757,575 units sold pursuant to the offering.

Avanti chief executive officer and director Chris Bakker stated: "We thank the syndicate of agents, new investors, our existing shareholders and insiders for their support via this oversubscribed financing. Our goal is to move forward with an appraisal well at Greater Knappen, which is a key milestone towards production."

The offering was conducted on a best efforts agency basis by Raymond James Ltd., as lead agent and sole bookrunner, on behalf of a syndicate of agents, which included Beacon Securities Ltd., Cormark Securities Inc. and Haywood Securities Inc.

In connection with the offering, the company paid and issued to the agents in aggregate a cash commission of $450,800 and compensation option units to purchase up to 683,030 units. Each compensation option unit is exercisable to acquire one agent's unit at an exercise price of 66 cents.

The net proceeds from the offering will be used by the company to finance exploration drilling on the company's lands and for general corporate purposes.

Insiders subscribed for a total of 545,000 units for aggregate gross proceeds of $359,700. The issuance of 545,000 units to insiders is considered a related party transaction, subject to Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions. The company intends to rely on exemptions from the formal valuation and minority shareholder approval requirements provided under sections 5.5(a) and 5.7(a) of MI 61-101, as the participation in the offering by the insiders will not exceed 25 per cent of the fair market value of the company's market capitalization.

About Avanti Helium Corp.

Avanti Helium is focused on the exploration, development and production of helium across Western Canada and the United States. Avanti's professional oil and gas exploration and production team is actively targeting untapped potential helium reserves to help meet the increasing global demand for an irreplaceable and scarce element critical to advanced technology, medical and space exploration industries.

We seek Safe Harbor.

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