NXA Inc.
NEX BOARD : NXI.H

April 16, 2007 18:18 ET

NXA Inc. Announces Third and Final Closing of Financing

TORONTO, ONTARIO--(CCNMatthews - April 16, 2007) -

NOT FOR DISTRIBUTION TO UNITED STATES OF AMERICA WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES OF AMERICA

NXA INC. ("NXA" or the "Company") (NEX:NXI.H), further to its press releases of November 27, 2006, December 8, 2006, January 2, 2007 and March 9, 2007, NXA is pleased to announce the third and final closing today of its non-brokered offering (the "Offering") of securities of NXA to arm's length purchasers. Pursuant to the third and final closing of the Offering, the Company issued 840,000 units (the "Units"), each such Unit comprised of one common share (a "Share") and one Share purchase warrant (each, a "Warrant") at a price of $0.06 per Unit for aggregate gross proceeds of $50,400. Each Warrant partially comprising the Units shall be exercisable to acquire one Share of the Company for a period of twelve (12) months from the date of issuance of the Warrant at an exercise price of $0.10 per common share.

This third closing completes the Offering of securities of the Company first announced on November 27, 2006. The proceeds of the Offering will be used to ensure the Company meets minimum listing requirements of Tier 2 of the TSX Venture Exchange (the "Exchange"), for which the Company has applied.

ABOUT NXA

The Company's common shares were listed for trading on the NEX board of the Exchange effective February 23, 2005. Since that time, the Company has been exploring new business opportunities with a view to maximizing shareholder value. On November 27, 2006, the Company announced the acquisition (the "Acquisition") of certain mineral properties in British Columbia, Canada (subject to stock exchange, regulatory and shareholder approvals), its application to graduate to Tier 2 of the Exchange in connection with its Change of Business (as defined in applicable Exchange policies) and the Offering.

Completion of the Acquisition is subject to a number of conditions, including Exchange acceptance and shareholder approval. The transactions contemplated by the Acquisition cannot close until the required shareholder approval is obtained. There can be no assurance that the Acquisition will be completed as proposed or at all.

Investors are cautioned that, except as disclosed in the management information circular to be prepared in connection with the Acquisition, any information released or received with respect to the Change of Business may not be accurate or complete and should not be relied upon. Trading in the securities of NXA should be considered highly speculative.

Shares Outstanding: 19,462,055

The Exchange has in no way passed upon the merits of the proposed Acquisition and has neither approved nor disapproved the contents of this press release.

Contact Information

  • NXA Inc.
    Chuck Lilly
    President and Chief Executive Officer
    (705) 522-2400, ext. 207