Brasnova Energy Materials Inc. has closed its non-brokered private placement financing, raising aggregate gross proceeds of $238,800 while choosing not to go forward with the remaining $511,200 of the planned raise.

The company issued 2,388,000 units priced at $0.10 each. Every unit comprises one common share and one common share purchase warrant. Each warrant allows the holder to buy an additional common share at $0.20 for 24 months, subject to an acceleration clause if company shares trade at or above $0.50 for ten consecutive trading days.

An insider subscribed for $25,000 of the placement. This insider participation qualified as a related-party transaction under Multilateral Instrument 61-101, but Brasnova was exempt from formal valuation and minority shareholder approval requirements because the fair market value of the insider participation did not exceed 25 percent of the company's market capitalization.

In connection with the closing, Brasnova paid cash finders' fees of $6,930 and issued 6,930 non-transferable broker warrants. All securities issued under the placement are subject to a statutory four-month-and-one-day hold period from the date of issue. While the financing has closed, it remains subject to final approval from the TSX Venture Exchange.

Proceeds from the placement will fund project payments, acquisitions, exploration, development, and working capital expenditures. Brasnova holds a 24-month period under a modified agreement executed on August 27, 2026, to complete CA$1,000,000 in expenditures to earn a 50 percent interest in five Bahia Gold Belt projects spanning 17,457.20 hectares.

Read the full announcement: Brasnova Energy Materials Inc. Closes Financing