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Dieppe, New Brunswick--(Newsfile Corp. - February 13, 2025) - Colibri Resource Corporation (TSXV: CBI) ("Colibri" or the "Company") is pleased to announce that, further to its news release of January 31, 2025, it has closed, subject to final TSX Venture Exchange (the "Exchange") acceptance, a first tranche of its previously announced non-brokered private placement of units (the "Offering") for aggregate gross proceeds of $140,400.
Colibri has issued 5,616,000 units ("Units") at a price of $0.025 per Unit. Each Unit is comprised of one (1) common share (a "Common Share") and one (1) common share purchase warrant ("Warrants") of the Company. Each Warrant entitles the holder to acquire one additional Common Share of the Company at a price of C$0.05 for a period of 24 months following issuance. No insiders participated in this tranche of the Offering.
The Common Shares and Warrants are subject to a statutory hold period expiring on the date that is four months and one day after closing. In connection with the closing of this tranche, the Company has agreed to pay a finder's fee of $1,500 and issued 60,000 finder's warrants (the "Finder's Warrants") to an arm's-length party. Each Finder's Warrant entitles the holder to acquire one Common Share of the Company at a price of C$0.05 for a period of 24 months following issuance. The finder's fee is subject to Exchange acceptance.
As disclosed in its news release of January 31, 2025, the proceeds of the Offering are expected to be applied as follows: approximately 20% for upcoming exploration expenses at Colibri's highly prospective precious metals projects in Mexico, including the Pilar Gold Project & the EP Gold Project, 65% for arm's length creditors including payment of interest expenses on outstanding loans and up to 15% to non-arm's length parties as reimbursement for expenses paid on behalf of the Company by the non-arm's length parties. No proceeds are being used for investor relations activities. The Company will be relying on appropriate exemptions from the formal valuation and minority shareholder approval requirements of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions ("MI 61-101") for payments to non-arm's length parties.
The Company anticipates completing a second tranche of the Offering within the next few weeks.
Final closing of the Offering (including any second tranche) is subject to acceptance of the TSX Venture Exchange.