Goldcorp Makes Strategic Investment in Gold Explorer

(MENAFN- Investors Ideas)
Goldcorp Makes Strategic Investment in Gold Explorer <>

In addition, Goldcorp Inc. is making a strategic investment in Allegiant to purchase 5,923,819 Allegiant common shares at CAN $0.35/share for gross proceeds of CA$2,073,337. After this investment is completed, Goldcorp will own 9.99% of the issued and outstanding common shares of Allegiant on a non-diluted basis.

Proceeds from this transaction will be used by Allegiant for high-impact "discovery" exploration drill programs on six of Allegiant's high-priority exploration projects, situated primarily in Nevada.

Allegiant noted that it has entered into an investor rights agreement with Goldcorp. If Goldcorp maintains an equity interest of a minimum of 5%, it will have:

• the right to participate in future equity financings to maintain up to a 9.99% interest in Allegiant;
• the right to receive regular updates of technical information on all Allegiant's projects;
• the right of first refusal to match third party offers in connection with proposed transactions on Allegiant's North Brown, Red Hills, Monitor Hills and Hughes Canyon gold projects;
• the right of first refusal on all of Allegiant's projects except Eastside, to match third party offers in connection with non-equity financings such as royalties and streams; and
• the right to appoint 50% of a technical committee with Allegiant with respect to the North Brown, Red Hills, Monitor Hills and Hughes Canyon gold projects.

Closing of the offering is expected to take place in July, and is subject to customary closing conditions, like title opinions and the receipt of applicable regulatory approvals. The approval of the TSX Venture Exchange is one of them. Also, all offering shares will be subject to a hold period of four months.

Allegiant owns 100% of 14 highly prospective drill-ready gold projects in the United States, mostly located in Nevada. The company has its headquarters in Vancouver.

Disclosure:

1) Jake Richardson compiled this article for Streetwise Reports LLC and provides services to Streetwise reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.

2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Allegiant Gold. Click here for important disclosures about sponsor fees.

3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.

4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer . This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article, until one week after the publication of the interview or article. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Allegiant Gold, a company mentioned in this article.

Get News on Mining Stocks

Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investment involves risk and possible loss of investment. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Contact each company directly regarding content and press release questions. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. More disclaimer info: http://www.investorideas.com/About/Disclaimer.asp

Additional info regarding BC Residents and global Investors: Effective September 15 2008 - all BC investors should review all OTC and Pink sheet listed companies for adherence in new disclosure filings and filing appropriate documents with Sedar. Read for more info: http://www.bcsc.bc.ca/release.aspx?id=6894 . Global investors must adhere to regulations of each country.

Please read Investorideas.com privacy policy: http://www.investorideas.com/About/Private_Policy.asp

MENAFN1007201801420000ID1097135875

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.