Falco $FPC to Raise $4MM in Flow-Through Shares

Falco Resources Ltd(TSX.V:FPC)

Falco Resources Ltd. is pleased to announce that it has entered into an agreement with a syndicate of agents led by Canaccord Genuity Corp. and including Desjardins Securities Inc. and Raymond James Ltd. to complete a private placement financing, on a best efforts basis, of up to 3,389,900 flow-through common shares of the Company at an issue price of C$1.18 per Flow-Through Share for proceeds of up to approximately C$4 million.

The Agents will have the option, but not the obligation, exercisable in whole or in part at any time up to 48 hours prior to the closing of the Offering, to increase the size of the Offering by up to an additional 1,694,950 in Flow-Through Shares at the Flow-Through Share issue price.

The proceeds from the issuance of Flow-Through Shares will be used for Canadian Exploration Expenses, and will qualify as “flow-through mining expenditures” under the Income Tax Act, and also qualify for the two 10% enhancements under the Taxation Act, which will be renounced to the subscribers with an effective date no later than December 31, 2017 to the initial purchasers of Flow-Through Shares in an aggregate amount not less than the proceeds raised from the issue of the Flow-Through Shares.

The proceeds of the Offering will be used by the Company to advance exploration works at the Donalda property and the surrounding Horne 5 Project properties.

The Flow-Through Shares will be offered and sold by way of private placement exemptions in all provinces and territories of Canada.

Closing of the Offering is anticipated to occur on or about December 21, 2017 and is subject to receipt of applicable regulatory approvals including approval of the TSX Venture Exchange.  The Flow-Through Shares issued under the Offering will be subject to a four month hold period which will expire four months plus a day from the date of closing. The Agents will receive a cash commission of 6% of the proceeds raised in this private placement.