Silver Bull Announces Closing Of Second Tranche Of Private Placement For Cumulative Gross Proceeds Of USD$3,788,443
VANCOUVER, BC -- (August 21, 2018) -- Silver Bull Resources, Inc. (TSX: SVB; OTCQB: SVBL) ("Silver Bull" or the "Company") is pleased to announce that it has completed the second and final tranche of its previously announced private placement (the "Private Placement"). Under the second tranche of the Private Placement, Silver Bull issued 7,365,555 units (the "Units") of the Company at a price of USD$0.13 per Unit for aggregate gross proceeds of USD$957,522. Each Unit consisted of one common share in the capital of the Company (a "Common Share") and one half of one transferable Common Share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder thereof to acquire one Common Share at a price of USD$0.16 until the second anniversary of the closing of the second tranche of the Private Placement.
Under the initial tranche of the Private Placement, which closed on July 25, 2018, Silver Bull issued a total of 21,776,317 Units for aggregate gross proceeds of USD$2,830,921.
The net proceeds of the Private Placement will be used by Silver Bull for general working capital purposes. The Company paid an aggregate cash commission on the second and final tranche of USD$40,040, in addition to issuing an aggregate of 220,000 non-transferable common share purchase warrants (the "Finders' Warrants"). Each Finders' Warrant entitles the holder thereof to acquire one Common Share for USD$0.14 until the second anniversary of the closing of the second tranche of the Private Placement.
All securities issued pursuant to the Private Placement are subject to a hold period under applicable Canadian securities laws, which will expire four months plus one day from the date of closing of the Private Placement, and will be restricted securities for purposes of U.S. securities laws.
The securities issued under the Private Placement have not been registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and accordingly, may not be offered or sold within the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. The Company plans to file a registration statement pursuant to the U.S. Securities Act which, when effective, will permit the resale of the Common Shares issued in connection with the Private Placement as well as the Common Shares issuable upon exercise of the Warrants and the Finders' Warrants. This news release does not constitute an offer to sell or a solicitation of an offer to buy any of Silver Bull's securities in the United States.
About Silver Bull: Silver Bull is a mineral exploration company whose shares are listed on the Toronto Stock Exchange and trade on the OTCQB in the United States, and is based out of Vancouver, Canada. The Sierra Mojada Project is located 150 kilometers north of the city of Torreon in Coahuila, Mexico, and is highly prospective for silver and zinc.
On behalf of the Board of Directors
Tim Barry, CPAusIMM
Chief Executive Officer, President and Director
+1 604 687 5800
Cautionary Note Regarding Forward-Looking Statements
Certain statements in this news release are "forward-looking" within the meaning of applicable securities legislation. Forward-looking statements can generally be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "estimate", "anticipate", "believe", "continue", "plans" or similar terminology. Forward-looking statements include, but are not limited to, statements relating to the expected use of proceeds from the Private Placement. Forward-looking statements are necessarily based upon the current belief, opinions and expectations of management that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social uncertainties and other contingencies. Many factors could cause the Company's actual results to differ materially from those expressed or implied in the forward-looking statements. These factors include, among others, market prices, metal prices, availability of capital and financing, general economic, market or business conditions, as well as other risk factors set out under the heading "Risk Factors" in the Annual Report on Form 10-K for the year ended October 31, 2017, which is available on SEDAR at www.sedar.com. Investors are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty therein.