Not for distribution in the United States or through United States wire services.
CALGARY, April 29, 2014 /CNW/ - Valparaiso Energy Inc. (the "Corporation") (VPO.H) is pleased to announce that as a result of overwhelming demand for its previously announced private placement financing of units of the Corporation ("Units"), each unit consisting of one common share and one half of one common share purchase warrant, it has closed on an offering of 10 million Units for gross aggregate proceeds of $500,000. Each warrant entitles the holders thereof to purchase an additional common share for a period of twelve (12) months from the closing date at a price of $0.15 per common share. Both the common shares, and any shares issued pursuant to the exercise of warrants, will be subject to a four month hold period, expiring on August 30, 2014. Finders and brokers were entitled to a 6% commission or finder's fee for subscriptions facilitated by such finders or brokers and a total of $30,000 was paid to such finders. The closing of the offering and the payment of any finder's fees are subject to any and all required regulatory approvals, including final approval of the NEX Board of the TSX Venture Exchange.
The Corporation anticipates using the proceeds of the private placement financing for general corporate purposes and for the evaluation of petroleum and natural gas prospects both in Canada and Internationally.
Furthermore, the Corporation is pleased to announce that the NEX Board of the TSX Venture Exchange has approved the settlement of the outstanding principal debt amount of $325,000 into 6,500,000 common shares of the Corporation reflecting a price of $0.05 per share.
After giving effect to the private placement and the debt settlement described above, the Corporation will have 46,321,569 shares outstanding.
THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
This news release may contain certain forward-looking statements that reflect the current views and/or expectations of Valparaiso Energy Inc., with respect to its performance, business and future events. Such statements are subject to a number of risks, uncertainties and assumptions. Specifically, certain of the transactions referenced herein are subject to regulatory approval, and there can be no guarantee that such approvals will be received, in a timely manner or at all. Actual results and events may vary.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Valparaiso Energy Inc.
For further information: William J. Wylie, Valparaiso Energy Inc., T: 403.266.5515 (Ext. 4), E: Bill@raptap.com