Baru Gold Announces Extension of Common Share Purchase Warrants
On February 10, 2025, Baru Gold Corp. (Baru Gold or the Company) made an important announcement regarding the extension of the common share purchase warrants (Warrants) issued to investors. The Warrants, issued on February 24, 2023, and March 15, 2023, will now have an extended expiry term.
Details of the Warrant Extension
A total of 13,136,799 Warrants will be affected by this amendment. Specifically, 5,681,799 Warrants were issued on February 24, 2023, and 7,455,000 Warrants were issued on March 15, 2023. The proposed new expiry dates for these Warrants are July 24, 2025, for the first batch, and August 15, 2025, for the second batch.
The exercise price for each Warrant remains unchanged at $0.10 per Warrant.
Conditions for Warrant Acceleration
The Company retains the right to accelerate the expiry date of the Warrants should the closing price of Baru Gold’s common shares on the TSX Venture Exchange reach or surpass C$0.12 for five consecutive trading days. In this scenario, the new expiry date would be 30 days following the dissemination of a news release announcing the acceleration.
Impact on Baru Gold Investors
This extension of the Warrant term provides existing Baru Gold investors with additional time to exercise their Warrants at the current price of $0.10 per Warrant. This could be beneficial for investors who were previously under pressure to exercise their Warrants before the original expiry date.
Global Implications of the Warrant Extension
The extension of the Warrant term for Baru Gold could potentially influence investor sentiment towards other mining companies with similar Warrant structures. If the extension is perceived positively, it might encourage investors to hold onto their Warrants in other mining companies, increasing their confidence in the sector as a whole.
Conclusion
Baru Gold’s announcement to extend the expiry term of its common share purchase Warrants offers a significant advantage to its existing investors by providing them with more time to exercise their Warrants. This decision could also have a positive impact on investor sentiment towards the mining sector, potentially encouraging investors to hold onto their Warrants in other mining companies.
- Baru Gold extends the expiry term of 13,136,799 outstanding common share purchase Warrants
- The Warrants issued on February 24, 2023, and March 15, 2023, will now expire on July 24, 2025, and August 15, 2025, respectively
- The exercise price remains unchanged at $0.10 per Warrant
- Baru Gold retains the right to accelerate the Warrant expiry if the Company’s common shares reach C$0.12 for five consecutive trading days
- The extension could benefit existing Baru Gold investors by providing them with more time to exercise their Warrants
- The decision might also positively impact investor sentiment towards the mining sector as a whole
