Oroco Resource Corp (OCO.V) has now completed the previously announced placement. The company initially wanted to raise C$2.5M but was ultimately able to raise C$2.7M by issuing 6.7 million units at C$0.40 per unit. Each unit consisted of one common share and one full warrant allowing the warrant holder to acquire an additional share at C$0.65 within eighteen months after the closing date of the financing.
Management and directors invested C$308,000 to purchase 770,000 units, which is encouraging to see. The proceeds will help to strengthen the balance sheet as the most recent financial statements indicated a working capital deficit of in excess of C$1M at the end of September.
Disclosure: The author has a long position in Oroco Resource Corp. Please read the disclaimer.
