King’s Bay Resources Corp (CVE:KBG) announced it intends to complete a non-brokered private placement of C$500,000.
King’s Bay Resources said it intends to issue 8.33mln units priced at C$0.06, with each unit consisting of one common share of the company and one share purchase warrant – which may be exercised for a period of 24 months at a price of C$0.10 per share.
Proceeds of the private placement will be used for working capital.
King’s Bay has been considering opportunities outside the resource sector, specifically the cannabis industry as a result of the involvement of some of the company’s director being involved in successful, publicly listed cannabis companies. Currently, King’s Bay is not currently a party to any binding agreement, term sheet or letter of intent.
The company said management will consider opportunities and consider if they will serve shareholders well.
Shares of King’s Gold were down 13.3% at C$0.07 on Tuesday afternoon.