Homerun Resources Secures $6M Institutional Financing with Institutional Investor

Homerun Resources Inc. has executed a binding term sheet with an institutional investor for a $6 million financing. The financing will consist of 6 million units at $1 per unit, with proceeds to be delivered in monthly tranches of $250,000 over 24 months. Each unit will comprise one common share and one warrant, exercisable for three years at a 20% premium to the volume-weighted average trading price. A corporate finance fee of $360,000 will be payable via the issuance of 360,000 shares. The company intends to rely on the listed issuer financing exemption under Part 5A of National Instrument 45-106 for the offering.

Homerun Resources Inc. (TSXV: HMR) has executed a binding term sheet with an institutional investor for a $6 million CAD financing. The offering consists of 6 million units at $1.00 CAD per unit, with funds to be released in monthly tranches of $250,000 CAD over 24 months. Each unit will comprise one common share and one warrant, exercisable for three years at a 20% premium to the volume-weighted average trading price (VWAP) over the five trading days immediately preceding the date of each release [1].

The corporate finance fee for the investor is $360,000, payable via the issuance of 360,000 shares [1]. The company intends to rely on the listed issuer financing exemption under Part 5A of National Instrument 45-106 for the offering, which means the shares and warrants will not be subject to restrictions on resale [1].

Additionally, Homerun is extending and repricing its previously announced non-brokered private placement to $3 million CAD at $1.00 per unit [2]. The company has also agreed to pay a non-refundable due diligence deposit of $100,000 CAD via the issuance of 100,000 shares, subject to a statutory four-month hold period [1].

The closing of the Offering is subject to several conditions, including receipt of all necessary corporate and regulatory approvals, including the TSX Venture Exchange [1]. The company has maintained an uncompromising commitment to ESG principles, deploying clean and sustainable production technologies across all operations [3].

References:
[1] https://www.streetinsider.com/Newsfile/Homerun+Resources+Inc.+Executes+Binding+Term+Sheet+with+Institutional+Investor+for+%246+Million+Financing/24943058.html
[2] https://www.stocktitan.net/news/HMRFF/homerun-resources-inc-executes-binding-term-sheet-with-institutional-75lg3y9uurtk.html
[3] https://www.gurufocus.com/news/2924800/homerun-resources-inc-selected-by-bndes-and-finep-for-strategic-minerals-transformation-funding-hmrff-stock-news