Victory Metals Inc. (TSX-V: VMX) announces it will be closing a non-brokered private placement financing previously announced on September 16, 2020, raising gross proceeds of $2,000,000 through the issuance of 5,000,000 common shares in the capital of the Company at a price of $0.40 per Share.

In connection with the Private Placement, cash finder’s fees in the total amount of $6,900.00 payable to eligible finders are applicable. The net proceeds of the Private Placement will be used to advance the Company’s Iron Point Vanadium Project and for general working capital purposes.

An insider of the Company, Palisades Goldcorp Ltd., is acquiring 2,600,000 shares. The participation by an insider in the Private Placement is considered to be a “related party transaction” as defined under Multilateral Instrument 61-101. The transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101, as neither the fair market value of the securities being issued, nor the consideration being paid exceeds 25% of Victory’s market capitalization. The material change report in connection with related party’s participation in the Private Placement was not filed 21 days in advance of the closing of the Private Placement for the purposes of Section 5.2(2) of MI 61-101 on the basis that the relevant subscription agreement under the Private Placement was not available to the Company until shortly before closing.

All securities to be issued in respect to the Private Placement will be subject to a hold period expiring February 9, 2021, being the date that is four months and one day from the closing date of the Private Placement in accordance with applicable securities laws. Closing of the Private Placement is subject to final acceptance by the TSX Venture Exchange. 

About Victory Metals

Victory owns a 100% interest in the Iron Point Vanadium Project, located 22 miles east of Winnemucca, Nevada. The project is located within a few miles of Interstate 80, has high voltage electric power lines running through the project area and a railroad line passing across the northern property boundary. The Company is well financed to advance the project through resource estimation and initial feasibility study work. Victory has a proven capital markets and mining team led by Executive Chairman Paul Matysek. Major shareholders include Palisades Goldcorp (48%), and management, directors and founders (27%).