There were a number of companies that came into focus among investors this past Friday, and one of those that may be worth looking into is Madison Metals Inc. (OTC:MMTLF). On April 5, the company announced that it was looking to move forward with the second tranche of a private placement financing of units in the capital of Madison Metals for the price of C$0.35 per unit.
The company initially announced its plans for a private placement on March 12, 2024, and on March 25, 2024, it announced the conclusion of the first tranche of the private placement. In the first tranche, the company had issued 3,069,600 units and managed to generate gross proceeds to the tune of C$1,074,360. In the news release, the company revealed that the second tranche of the private placement would be closed on April 12, 2024, or before. The maximum offering size of the private placement had been set at C$2,500,000.
The company announced that each unit offered in the second tranche of the private placement would be made up of one common share and half of a share purchase warrant. A whole warrant would entitle the holder to pick up one common share in the capital of the company for the price of C$0.50 up until 18 months since the date of the closing.
In connection with the private placement, the company could also pay a finder’s fee to the tune of 6% in cash. Additionally, Madison Metals would also issue broker warrants to the tune of 6% of the units that had been issued in the offering. The units would be offered to residents in Canada and other qualified jurisdictions as per applicable regulations. The securities issued in the private placement would not be subjected to any hold period.
