TCA Global Master Credit Fund will buy common shares at 5% discount
By Devika Patel
Knoxville, Tenn., Feb. 3 - AmeriLithium Corp. said it negotiated a $2.5 million two-year equity line financing with TCA Global Master Credit Fund, LP on Jan. 30.
The company will sell common shares to the investor in tranches of up to 350,000 shares or 200% of the average daily volume of shares of common stock traded during the five trading days immediately preceding the put notice.
The shares will be sold at a 5% discount to the market price, using a five-day forward volume-weighted average price.
AmeriLithium also raised $250,000 by selling a convertible promissory note.
"We've taken on this finance agreement so we can utilize it to the best advantage of the company and ensure the continued development of the company's asset base," chief executive officer Matthew Worrall said in a press release. "In light of having begun the planning and permitting for a targeted drilling program on our four Nevada-based lithium brine properties, this financing agreement has come at just the right time. We now have both the data from our recently completed geophysical exploration and the funding we need to move to the next phase of exploration for commercial lithium-bearing brine concentrations in Nevada.
"Having an equity facility available to the company, such as the agreement with TCA, allows the company to transition towards a healthier, less debt-reliant balance sheet," Worrall added.
AmeriLithium is a gold, silver and lithium mining company based in Henderson, Nev.
| Issuer: | AmeriLithium Corp.
|
| Issue: | Equity line financing
|
| Amount: | $2.5 million
|
| Tenor: | Two years
|
| Price: | Discounted 5%
|
| Warrants: | No
|
| Investor: | TCA Global Master Credit Fund, LP
|
| Settlement date: | Jan. 30
|
| Stock symbol: | OTCBB: AMEL
|
| Stock price: | $0.08 at close Jan. 30
|
| Market capitalization: | $5.66 million
|
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