Honey Badger Silver Announces Closing of Second Tranche of Previously Announced Private Placement and an Incremental Financing

Core Viewpoint - Honey Badger Silver Inc. has successfully closed the second tranche of its non-brokered private placement, raising gross proceeds of $465,000 through the issuance of 4,650,000 units at a price of $0.10 per unit [1][4]. Financing Details - Each unit consists of one common share and one half of a common share purchase warrant, with each whole warrant allowing the purchase of one common share at an exercise price of $0.15 until January 16, 2027 [2]. - The company plans to conduct an additional non-brokered private placement offering of up to 5,327,273 additional units at a price of $0.11 per unit, potentially raising up to $586,000 [3]. - The additional financing is expected to close around July 23, 2025, pending necessary regulatory approvals [4]. Use of Proceeds - The net proceeds from both the second tranche and the additional financing will be used to advance the company's properties, purchase silver royalties, and cover general administrative expenses [4]. Finder's Fees and Warrants - In connection with the second tranche, the company paid cash finder's fees of $13,300 and issued 133,000 non-transferable finder's warrants, each exercisable at C$0.15 until January 16, 2027 [5]. - For the first tranche, the company issued 7,692,353 common shares as flow-through shares at $0.13 per share and 9,860,000 units at $0.10 per unit, raising approximately $1.986 million [6]. Regulatory Compliance - The securities issued in the second tranche and those to be issued in the additional financing are subject to a four-month hold period under Canadian securities laws [7]. - The offering is contingent upon final approval from the TSX Venture Exchange [9]. Insider Participation - Certain insiders are expected to participate in the additional financing, which may be classified as a "related party transaction" under Multilateral Instrument 61-101 [10]. Options Granted - The company granted 4,000,000 options to acquire common shares to certain officers, employees, and consultants, with an exercise price of $0.12 per share and a five-year term [11]. Company Overview - Honey Badger Silver is a silver-focused company with projects in historically significant mining areas, including the Sunrise Lake project and the Clear Lake project, which have substantial historical resource estimates [13][14].