VANCOUVER, May 27, 2020 /CNW/ - CruzSur Energy Corp. (the
"Company" or "CruzSur") (TSXV: CZR) is pleased
to announce that it has completed a non-brokered private placement
of 10,000,000 units (each, a "Unit"), at a price of
C$0.18 per Unit, for gross proceeds
of C$1,800,000. Each Unit consists of
one common share and one share purchase warrant (each, a
"Warrant"), with each Warrant entitling the holder to
purchase one additional share at a price of C$0.23 until May 27,
2022.
All securities issued in connection with the private placement
are subject to a four month and one day statutory hold period
expiring on September 28, 2020.
The net proceeds of C$1,800,000
raised through the Private Placement will be used for general
working capital purposes.
The Company further announces that Mr. Frank Giustra acquired ownership of 1,000,000
Units of the Company pursuant to the private placement. Prior
to the acquisition of securities, Mr. Giustra owned, directly or
indirectly, and/or controlled an aggregate of 3,366,452 common
shares, representing 10.32% of the outstanding shares, and would
have owned 19,323,661 common shares assuming the exercise of
convertible securities, representing 39.78% of the outstanding
shares on a partially diluted basis. Mr. Giustra directly and
indirectly now owns and/or controls in aggregate 4,366,452 common
shares representing 10.24% of the issued and outstanding common
shares of the Company and would own 21,323,661 common shares,
representing 35.79% of the issued and outstanding common shares of
the Issuer on a partially diluted basis assuming the exercise of
pre-existing warrants and options, conversion of the debenture and
exercise of the warrants acquired on conversion of the
debenture.
Mr. Giustra may in the future acquire or dispose of securities
of the Issuer, through the market, privately or otherwise, as
circumstances or market conditions warrant. A copy of the Early
Warning Report filed by Mr. Giustra may be obtained from the
Issuer's SEDAR profile.
The Company further announces that, Mr. Serafino Iacono indirectly acquired, through
Brockville International Holdings, ownership of 200,000 Units of
the Company pursuant to the private placement. Prior to the
acquisition of securities, Mr. Iacono indirectly owned and/or
controlled 2,255,784 common shares representing 6.91% of the
outstanding shares, and would have owned 11,160,367 common shares
assuming the exercise of convertible securities, representing
26.88% of the outstanding shares on a partially diluted
basis. Mr. Iacono directly and indirectly now owns and/or
controls in aggregate 2,455,784 common shares representing 5.76% of
the issued and outstanding common shares of the Company and would
own 11,560,367 common shares, representing 22.35% of the issued and
outstanding common shares of the Issuer on a partially diluted
basis assuming the exercise of pre-existing warrants, conversion of
the debenture and exercise of the warrants acquired on conversion
of the debenture.
Mr. Iacono may in the future acquire or dispose of securities of
the Issuer, through the market, privately or otherwise, as
circumstances or market conditions warrant. A copy of the Early
Warning Report filed by Mr. Iacono may be obtained from the
Issuer's SEDAR profile.
About CruzSur Energy Corp.
CruzSur Energy Corp. is a
publicly traded E&P company focused on proven oil & gas
plays in Latin America. The
Company holds a large diversified portfolio of producing,
development and unexploited assets in Colombia and Argentina where it will leverage its amplitude
of technical expertise and proven track record building companies
and creating value.
Forward-Looking Information
Except for the
statements of historical fact, this news release contains
"forward-looking information" within the meaning of the applicable
Canadian securities legislation that is based on expectations,
estimates and projections as at the date of this news
release. The information in this news release about the
completion of the operations described herein, and other
forward-looking information includes but is not limited to
information concerning the intentions, plans and future actions of
the parties to the transactions described herein and the terms of
such transaction.
Factors that could cause actual results to differ materially
from those described in such forward-looking information include,
but are not limited to, risks related to the Company's inability to
perform the proposed operations.
The forward-looking information in this news release reflects
the current expectations, assumptions and/or beliefs of the Company
based on information currently available to the Company. In
connection with the forward-looking information contained in this
news release, the Company has made assumptions about the Company's
ability to complete the planned operations and activities. The
Company has also assumed that no significant events will occur
outside of the Company's normal course of business. Although the
Company believes that the assumptions inherent in the
forward-looking information are reasonable, forward-looking
information is not a guarantee of future performance and
accordingly undue reliance should not be put on such information
due to the inherent uncertainty therein.
Any forward-looking information speaks only as of the date on
which it is made and, except as may be required by applicable
securities laws, the Company disclaims any intent or obligation to
update any forward-looking information, whether as a result of new
information, future events or results or otherwise.
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE CruzSur Energy Corp.