- RJK Explorations announces amendments to 8,057,363 common share purchase warrants.
- Warrant term extended to May 20, 2027, with a reduced exercise price for select warrants.
- Changes are subject to TSX Venture Exchange approval and involve a "related party transaction".
RJK Explorations Ltd. (RJK) is set to amend certain terms of its outstanding common share purchase warrants. The amendments pertain to a total of 8,057,363 warrants initially issued through a private placement in May-June 2022. The proposed alterations include extending the expiration date from May/June 2025 to May 20, 2027. Additionally, the exercise price for 2,947,099 of these warrants will be halved from $0.25 to $0.12, aimed at encouraging exercise by the holders.
Among the total warrants, 5,916,000 are held by an insider, but due to TSX Venture Exchange policies, only 805,736 of these are eligible for the exercise price reduction. This proposal is characterized as a "related party transaction" under MI 61-101 but is exempt from certain valuation and minority approval requirements because it does not surpass 25% of RJK's market capitalization.
These amendments are contingent on the approval of the TSX Venture Exchange. RJK Explorations plans to release further communications upon receiving the exchange's decision regarding these proposals.
