Um­bral En­ergy plans $2.04-mil­lion pri­vate place­ment

Stockwatch Daily - - FRONT PAGE - Mr. Jagdip Bal re­ports

UM­BRAL EN­ERGY Corp. is plan­ning a non-bro­ker ed pri­vate place­ment con­sist­ing of up to 34 mil­lion units at a pur­chase price of six cents per unit to raise gross pro­ceeds of up to $2.04-mil­lion. Each unit will con­sist of one com­mon share in the cap­i­tal of the com­pany and one share pur­chase war­rant. Each full war­rant will en­ti­tle the holder to pur­chase one ad­di­tional com­mon share in the cap­i­tal of the com­pany for a pe­riod of two years, at a pur­chase price of 10 cents per share.

The com­pany may pay a finder’s fee in con­nec­tion with the pri­vate place­ment within the amount per­mit­ted by the poli­cies of the ex­change. Cer­tain di­rec­tors, of­fi­cers and in­sid­ers of the com­pany may par­tic­i­pate in the pri­vate place­ment. The pri­vate place­ment is sub­ject to a num­ber of con­di­tions, in­clud­ing re­ceipt of all nec­es­sary cor­po­rate and reg­u­la­tory ap­provals, in­clud­ing the ex­change. All se­cu­ri­ties is­sued in con­nec­tion with the pri­vate place­ment will be sub­ject to a statu­tory hold pe­riod of four months plus a day from the date of is­suance in ac­cor­dance with ap­pli­ca­ble se­cu­ri­ties leg­is­la­tion.

The war­rants are sub­ject to an ac­cel­er­ated ex­piry if, any time fol­low­ing the ex­pi­ra­tion of the four-month hold pe­riod, the shares trade at a price equal to or greater than 20 cents on the Cana­dian Stock Ex­change or such other mar­ket as the shares may trade, from time to time, for 10 con­sec­u­tive trad­ing days, in which event the sub­scriber may, at the is­suer’s elec­tion, be given no­tice that the war­rants of the is­suer will ex­pire 30 days fol­low­ing the date of such no­tice. The war­rants may be ex­er­cised by the holder dur­ing the 30-day pe­riod be­tween the no­tice and the ex­pi­ra­tion of the war­rants.

The net pro­ceeds from the pri­vate place­ment will be used by the com­pany to pay the bal­ance of pur­chase price for Falk­land, B.C., prop­erty, com­ple­tion of phase 1 of the build­out prior to an award of a li­cence to cul­ti­vate, fi­nance a work pro­gram for Le­tourneur prop­erty and for gen­eral work­ing cap­i­tal.

About Um­bral En­ergy Corp. The com­pany is cur­rently listed as a ju­nior re­source is­suer hav­ing min­eral ex­plo­ration projects. The com­pany is con­sid­er­ing other ac­tiv­i­ties to in­crease share­holder value, in­clud­ing non-re­source projects. The com­pany has an in­ter­est in PhyeinMed, which has ap­plied for a li­cence from Health Canada to legally grow and sell med­i­cal mar­i­juana.

We seek Safe Har­bor.

Jagdip Bal, Bradley Todd Cul­ver, Clin­ton B Sharples

(UMB) Shares: 78,398,146

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