VANCOUVER, BRITISH COLUMBIA--(Marketwired - Aug. 30, 2016) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. WIRE SERVICES
Royalty North Partners Ltd. (TSX VENTURE:RNP) ("RNP" or the "Company") is pleased to announce that it has increased the size of its previously announced private placement.
On August 11, 2016, RNP announced that it intended to complete a non-brokered private placement (the "Private Placement") for minimum gross proceeds of C$7,000,000 through the issuance of units (the "Units") of the Company at an issue price of C$0.15 per Unit.
The Company now intends to raise approximately C$9,500,000 on the same terms as previously announced. Each Unit will consist of one common share in the capital of the Company and one-half of one share purchase warrant (the "Warrant"). Each full Warrant will entitle the holder to acquire one common share in the capital of the Company at C$0.25 per share until the date that is 60 months from the closing of the Private Placement.
Proceeds from the Private Placement will be used to fund the previously announced Loan & Royalty Agreement with Country Wine & Spirits, Inc., a leading San Diego retailer of wine, beer & liquor, for transaction expenses and for working capital purposes.
The Company intends to pay a commission to certain arm's length finders in connection with the Private Placement (the "Finder's Fee"). The Finder's Fee will be comprised of a 6% cash commission and 6% in non-transferable brokers warrants, which warrants will otherwise be on the same terms as those issued pursuant to the Private Placement.
The Private Placement remains subject to certain conditions, including the acceptance of the TSX Venture Exchange.
All securities issued pursuant to the Private Placement will be subject to a hold period of four months from the date of issuance of the securities.
On behalf of the Company,
Justin Currie, Chief Executive Officer and Director
About Royalty North Partners Ltd.
Royalty North Partners is a Vancouver, BC based, TSX-V listed (RNP) company focused on creating a diversified portfolio of cash flowing royalties by providing financing to private businesses operating in the "mid-market". RNP is led by a seasoned board and management team with a successful track record of experience in royalty financing, capital markets transactions and private company operations. RNP is targeting royalty investments in companies with stable cash flow in non-resource based sectors looking for growth capital or succession liquidity.
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 does not constitute an offer to purchase securities. The securities to be offered in the offering have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States or to, or for the benefit or account of, a U.S. person, except pursuant to an available exemption from such registration requirements.
Cautionary Note Regarding Forward-Looking Statements
Except for the statements of historical fact contained herein, the information presented constitutes "forward looking statements" within the meaning of certain securities laws, and is subject to important risks, uncertainties and assumptions. Such forward-looking statements, including but not limited to the completion of the Private Placement, the completion of the transactions contemplated by the Loan and Royalty Agreement with Country Wine & Spirits, Inc. and the use of the proceeds of the Private Placement. The words "may", "could", "should", "would", "suspect", "outlook", "believe", "anticipate", "estimate", "expect", "intend", "plan", "target" and similar words and expressions are used to identify forward-looking information. The forward-looking information in this news release describes the Company's expectations as of the date of this news release and accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While the Company may elect to, it does not undertake to update this information at any particular time.