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COPPER GIANT ANNOUNCES CLOSING OF C$31 MILLION STRATEGIC FINANCING
/NOT FOR DISTRIBUTION IN THE UNITED STATES OR DISSEMINATION THROUGH UNITED STATES WIRE SERVICES/
VANCOUVER, BC, Aug. 21, <a href="https://bitcomme.com/the-2026-startup-battlefield-200-is-here-see-who-made-the-cut/” title=”The 2026 Startup Battlefield 200 is here — see who made the cut”>2026 /CNW/ — Copper Giant Resources Corp. (“Copper Giant” or the “Company”) (TSXV: CGNT) (OTCQB: LBCMF) (FRA: 29H0) announces that it has closed its previously announced non-brokered private placement of common shares of the Company (“Common Shares”) for aggregate gross proceeds of C$30,999,996 (the “Financing”) at a price of C$0.72 per Common Share.
The Financing comprised subscriptions by Denarius for 40,000,000 Common Shares, and by Frank Giustra, through Sestini & Co. Pension Trustees Ltd. (an investment account controlled and directed by Mr. Giustra), for 2,777,775 Common Shares, resulting in Frank Giustra holding 15.55% of the Company’s issued and outstanding Common Shares on a partially diluted basis. In addition, Ian Harris, President and Chief Executive Officer of the Company, subscribed for 277,775 Common Shares. No finder’s fees were payable in connection with the Financing.
All Common Shares issued pursuant to the Financing are subject to a four-month-and-one-day hold period. On closing, Denarius became a new insider of Copper Giant pursuant to Canadian securities laws and is subject to all insider filings.
In connection with the Financing, each of Denarius, Frank Giustra and Ian Harris have agreed to enter into a two-year lock-up arrangement pursuant to which, among other things, they may not sell, offer, or grant options to purchase any of the Common Shares purchased in the Financing.
Proceeds of the Financing will be used for the advancement and acceleration of exploration and project development at Copper Giant’s Mocoa copper-molybdenum project in the Department of Putumayo, Colombia (“Mocoa Project”), including district-scale exploration, and general corporate purposes.
The Financing remains subject to the final acceptance of the TSX Venture Exchange (the “TSXV”).
Mr. Harris is an insider of the Company and Mr. Giustra is a significant shareholder; their participation in the Financing constitutes a “related-party transaction” as defined under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). Such transactions were exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to sections 5.5(a) and 5.7(1)(a), respectively, as neither the fair market value of the Common Shares subscribed for by the insiders, nor the consideration for the Common Shares paid by such insiders, exceeded 25% of the Company’s market capitalization. The Company did not file a material change report more than 21 days before the expected closing of the Financing because the details of the participation therein by insiders of the Company were not settled until shortly prior to closing of the Financing and the parties wished to close on an expedited basis for business reasons.
