OTTAWA – Stria Lithium Inc. (TXS-V: SRA) (“Stria” or the “Company”) is pleased to announce the closing of a non brokered private placement (the “Offering”) for gross proceeds of $94,500. The Company has issued 1,890,000 units (the “Units”) at a price of $0.05 per Unit, each Unit being comprised of one (1) common share of the Company and one common share purchase warrant (a “Warrant”), each Warrant entitling the holder thereof to acquire one (1) additional common share of the Company at a price of $0.07 per share until October 23, 2019.
The securities issued in connection with the closing of the Offering are subject to a four-month hold period expiring on February 24, 2016. The Offering is subject to the final approval of the TSX Venture Exchange.
An insider of the Company participated in the Offering and subscribed for an aggregate of 1,000,000 Units representing an aggregate amount of $50,000. Participation of the insider of the Company in the Offering constitutes a “related party transaction” as defined under National Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“NI 61-101”). The Offering is exempt from the formal valuation and minority shareholder approval requirements of NI 61-101 as neither the fair market value of securities being issued to insiders nor the consideration being paid by insiders will exceed 25% of the Company’s market capitalization. The Company did not file a material change report 21 days prior to the closing of the Offering as the details of the participation of insiders of the Company had not been confirmed at that time.