Grid Metals Corp (OTCMKTS:MSMGF) Stock Moves Up After Funding Agreements
Grid Metals Corp (OTCMKTS:MSMGF) was up 7% after the company announced the closing of a previously disclosed financing with Lithium Royalty Corp.
Market Stats
On Friday, MSMGF stock jumped 6.63% to $0.0885 with more than 4.1k shares, compared to its average volume of 54k shares. The stock has moved within a range of $0.0853 – 0.0885 after opening trading at $0.0853.
Grid Metals Corp. Closes Cad $6.3 Million Funding Agreements With Lithium Royalty Corp.
A private equity financing, royalties sales on the Campus Creek and Mayville Lithium properties relating to lithium resources, and asset disposals of a 25% stake in lithium are all part of the Transaction. The company will receive around CAD$6.3 million in total funding in conjunction with the proposed Transaction. As a result, grid’s working capital has risen to around $8.8 million.
The company issued 13.96 million shares in a private placement for $1,650.356 at $0.1182 per share. Interestingly there will be no finder’s fee or warrants in connection with this private placement. The sale of 25% stakes in these two lithium assets to LRC resulted in total payments of US$1.5 million for the company. Grid received $1.25 million for a 25% stake in the Mayville Property’s lithium rights and $0.25 million for a 25% stake in the recently bought Campus Creek Property, which is situated northwest of Thunder Bay. So, investors should watch MSMGF.
Traders Corner
MSMGF stock is above the 20-Day and 50-Day Moving averages of $0.0791 and $0.0856 respectively. The stock is trading in the neutral zone with the RSI at 58.
