Cedar Mountain Announces Closing of Private Placement of Units
Cedar Mountain Exploration Inc. (the "Corporation" or "Cedar") (CED:TSXV) is pleased to announce that it has completed a non-brokered private placement of 7,000,000 units (each a "Unit") at a price of $0.10 per Unit for gross proceeds of $700,000 (the "Offering"). Each Unit issued pursuant to the Offering consisted of one common share of the Corporation ("Common Share") and one common share purchase warrant ("Warrant"). Each Warrant entitles the holder to acquire one Common Share for a period of 24 months following the closing of the Offering (the "Exercise Period") at an exercise price of $0.15 per Common Share in the first 12 months of the Exercise Period and at a price of $0.20 per Common Share for the remaining 12 months of the Exercise Period. The securities issued pursuant to the Offering are subject to a four-month hold period which expires on February 2, 2010.
Directors and officers of the Corporation acquired 850,000 Units pursuant to the Offering. Finders acting in connection with the Offering received a finder's fee in the total amount of $30,200 and options to acquire a total of 302,000 Common Shares at a price of $0.10 per Common Share for a period of 24 months from the date of closing. Cedar now has 25,568,424 Common Shares issued and outstanding.
The Corporation intends to use the proceeds from the Offering for general working capital. The completion of the Offering is subject to final TSX Venture Exchange approval.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The offered securities mentioned in this press release will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold within the United States or to, or for the account or benefit of U.S. persons except in certain transactions exempt from the registration requirements of the U.S. Securities Act.
This news release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction.
About Cedar Mountain Exploration Inc.
Cedar is a junior mineral exploration company with gold and base metal projects in Canada. In addition to advancing its existing properties, the Corporation is evaluating global opportunities to expand its project portfolio.
Cedar is a member of the Discovery Group of Companies. For more information on the Group, please visit www.discoveryexp.com.
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Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release may contain "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", “proposed”, "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. This forward-looking information reflects Cedar’s current beliefs and is based on information currently available to Cedar and on assumptions Cedar believes are reasonable. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Cedar to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the early stage development of Cedar; general business, economic, competitive, political and social uncertainties; competition; lack of insurance; delay or failure to receive board or regulatory approvals; changes in legislation, including environmental legislation, affecting mining; timing and availability of external financing on acceptable terms; conclusions of economic evaluations; and lack of qualified, skilled labour or loss of key individuals. Although Cedar has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. Cedar does not undertake to update any forward-looking information, except in accordance with applicable securities laws.