Vancouver, B.C., May 19, 2022 – Chakana Copper Corp. (TSX-V: PERU; OTCQB: CHKKF; FWB: 1ZX) (the“Company”or“Chakana”) is pleased to announce a non-brokered private placement of up to 63,636,363 units of the Company (“Units”) at a price of C$0.11 per Unit for gross proceeds of up to C$7.0 million (the “Private Placement”).
Each Unit will consist of one common share in the capital of the Company (each, a “Share”) and one-half of one common share purchase warrant (each whole warrant, a “Warrant”). Each Warrant will entitle the holder to purchase one additional Share at a price of $0.20 per Share for a period of two years from closing of the Private Placement. The Company may (continues here)
A new share structure*:
A retail shareholder:
Are we allowed to ask just why PERU.v got painted itself into a financial corner the way it did? Why it threw $200k down the toilet on April 18th when re-negotiating its optioning deal, only to go ahead and run a placement at even worse terms just one month later? What’s more, you don’t need high-level math skills to realize this Lake Titicaca dilutive event won’t keep the company afloat for long and it wil need to run another financing soon if it wants to do anything other than keep the lights on. Another example in a series of awful corporate moves from this company, a case study in why you shouldn’t leave the keys of a public company in the hands of geologists. Shameful, but don’t expect them to show any shame.
*Assuming the placement goes to plan. At Chakana Copper, that’s a leap of faith in itself. Ribbit Ribbit.