Brixton Metals Announces First Closing of $6.9 Million of its Fully Subscribed $10 Million Private Placement Financing

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VANCOUVER, British Columbia, Dec. 08, 2021 (GLOBE NEWSWIRE) -- Brixton Metals Corporation (TSX-V: BBB, OTCQB: BBBXF) (the “Company” or “Brixton”) announces that, subject to all regulatory approvals, the Company has closed a first tranche non-brokered private placement for combined aggregate proceeds of $6,913,099.84 (“First Tranche Private Placement”) broken down as follows:

1. $4,718,200, through the issuance of 23,591,000 “flow-through” units (“FT Units”) at a price of $0.20 per FT Unit. Each FT Unit will consist of one common share and one half (1/2) of a common share purchase warrant, each whole warrant being exercisable for an additional common share of the Company for $0.26 for 24 months from the date of issuance of the FT Units. The FT Units will entitle the holder to receive the tax benefits applicable to flow-through shares, in accordance with the provisions of the Income Tax Act (Canada) (the “Tax Act”); and
   
   
2. $2,194,899.84, through the issuance of 12,193,888 units (“Units”) at a price of $0.18. Each Unit will consist of one common share and one common share purchase warrant, each whole warrant being exercisable for an additional common share of the Company for $0.26 for 36 months from the date of issuance of the Units.

In connection with the closing of the First Tranche Private Placement, the Company issued 337,460 broker warrants exercisable at a price of $0.18 for 24 months and paid finders’ fees to eligible parties. The ‎finders acting in connection with the closing of the First Tranche Private Placement including GloRes Securities Inc., Canaccord Genuity Corp., Accilent Capital Management Inc., and PI Financial Corp., collectively received a cash payments in the ‎aggregate amount of $‎99,252.‎00.

The First Tranche Private Placement forms a part of a larger offering for an aggregate total of up to $10,000,000 (the “Offering”) (and Company reserves the option to increase the size of its Offering of Units by up to 20%). The Offering will be comprised of a combination of additional FT Units, Units and charity “flow through” units (“Charity FT Units”) at a price of $0.245. Each Charity FT Unit will consist of one common share and one common share purchase warrant, each whole warrant being exercisable for an additional common share of the Company for $0.26 for 36 months from the date of issuance of the Charity FT Units. The Charity FT Units will entitle the holder to receive the tax benefits applicable to flow-through shares, in accordance with the provisions of the Tax Act.