4 December 2020
Kaizen Discovery Inc. announces that it proposes to complete a non-brokered private placement of up to 26,000,000 units of the Company at a price of $0.05 per Unit, for gross proceeds of up to $1,300,000. Each Unit will consist of one common share of the Company and one common share purchase warrant. Each Warrant will entitle the holder, on exercise, to purchase one Share for a period of 24 months following the closing date of the Offering at the exercise price of $0.075 per Share.
Kaizen's majority shareholder, HPX TechCo Inc. ("HPX") has agreed to subscribe for the full Offering (the "Lead Order").
The proceeds from the private placement will be used at Kaizen's 100%-owned Pinaya Copper-Gold Project in Peru and for general administrative expenses.
Kaizen is in the process of re-examining existing geological and geophysical data at Pinaya with the potential for generating new drill targets. As such, Kaizen is currently preparing a budget for an expanded 2021 exploration program.
The Units will be offered pursuant to exemptions from the prospectus requirements. The securities underlying the Units will be subject to a statutory hold period in Canada expiring four months and one day from the closing date and TSXV hold period, as applicable. Closing of the private placement is subject to TSX Venture Exchange approval.