This press release is issued pursuant to National Instrument 62-104 – Take-Over Bids and Issuer Bids and National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issues.
Val-d’Or, Québec – August 18, 2016 – Glenn J. Mullan of 152 chemin de la Mine École, Val-d’Or, Québec J9P 7B6, has acquired ownership of an aggregate 3,813,928 common shares in the capital of Cleghorn Minerals Ltd. (the “Issuer”) having a head office at 152 chemin de la Mine École, Val-d’Or, Québec J9P 7B6, which increased Mr. Mullan’s percentage of common shares held by approximately 9.47%. 3,613,928 common shares in the capital of the Issuer were acquired at a deemed per share price of $0.05 in accordance with the terms of a Mineral Claims Purchase Agreement between the Issuer and 2973090 Canada Inc., a private Canadian corporation owned and controlled by Mr. Mullan; and 200,000 Units of the Issuer were acquired by Mr. Mullan under a private placement offering by the Issuer at a per Unit price of $0.10, each Unit comprised of one common share in the capital of the Issuer and one share purchase warrant, each warrant entitling the purchase of one common shares in the capital of the Issuer at a per share price of $0.12 until February 18, 2018. The securities were issued by the Issuer from its treasury.
Immediately before the transactions that triggered the requirement to issue this press release, Mr. Mullan owned 500,000 common shares of the Issuer representing approximately 11.36% of the Issuer’s then issued and outstanding common shares and owned options entitling the purchase of 125,000 common shares of the Issuer, or, assuming exercise of the options, a total of 625,000 common shares or approximately 13.81% of the Issuer’s common shares on a post-conversion beneficial ownership basis.
Immediately after the transactions that triggered the requirement to issue this press release, Mr. Mullan owns 4,313,928 common shares of the Issuer representing approximately 20.84% of the Issuer’s now issued and outstanding common shares and owns options entitling the purchase of 125,000 common shares of the Issuer and warrants entitling the purchase of 200,000 common shares of the Issuer, or, assuming exercise of the options and warrants, a total of 4,638,928 common shares or approximately 22.06% of the Issuer’s common shares on a post-conversion beneficial ownership basis.
The shares were acquired for investment purposes by Mr. Mullan and he will evaluate his investment in the Issuer and will increase or decrease his investment by future acquisitions or dispositions of securities of the Issuer at his discretion, as circumstances warrant. As of the date hereof, Mr. Mullan has no immediate future intention to acquire additional securities of the Issuer, or dispose of securities of the Issuer that he owns. Mr. Mullan may, in the future, exercise options and warrants that he owns and, thus, acquire further common shares in the capital of the Issuer.
A report respecting this acquisition, which is incorporated herein by reference, will be electronically filed with regulators in Alberta, British Columbia, Ontario and Québec and will be available for viewing through the Internet at the Canadian System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com. To obtain a copy of the report, contact Mr. Mullan at (819) 824-2808.