Greenridge arranges C$3M private placement with Asian energy firm

Greenridge Exploration Inc. (CSE: GXP | OTC: GXPLF | FRA: HW3) has arranged a non-brokered private placement of C$3.0 million with an undisclosed Southeast Asian energy conglomerate, according to a company statement.

The investor will acquire 13,111,888 units at C$0.2288 per unit, representing approximately 17.17% of the company on a non-diluted basis. Each unit consists of one common share and one-half of a share purchase warrant. Each full warrant allows the investor to purchase one additional share at C$0.34 for 36 months from closing.

Under a planned sale and purchase agreement, the investor would receive the right to participate in future financings on a pro rata basis and certain board observer rights, contingent on maintaining at least 5% ownership of outstanding shares.

The company said proceeds will be used for working capital and general corporate purposes. Closing remains subject to regulatory and shareholder approvals, including approval from the Canadian Securities Exchange.

Russell Starr, Chief Executive Officer of Greenridge, said the placement "reflects the confidence that this leading South Asian conglomerate has placed in our team and our portfolio of mineral projects."

Greenridge is a mineral exploration company with interests in 22 projects covering approximately 242,239 hectares in Canada, with exposure to uranium, gold, and nickel. No finder's fees are payable in connection with the offering.

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