Mr. Alberto Cinta, investor, reports
ALBERTO EMILIANO CINTA MARTINEZ -- EARLY WARNING NEWS RELEASE
On Sept. 13, 2016, Alberto Emiliano Cinta Martinez acquired ownership of 4,666,666 units of Candelaria Mining Corp. at a price of 15 cents per unit for aggregate consideration of $700,000, pursuant to a non-brokered private placement. Each unit comprises one common share and one-half of one share purchase warrant. Each whole warrant entitles the holder to acquire one additional common share at a price of 25 cents per share until March 13, 2018.
Prior to the acquisition, the acquiror owns an aggregate of 23.5 million common shares of the issuer, representing approximately 9.82 per cent of the issued and outstanding common shares of the issuer on an undiluted basis. As a result of the acquisition, the acquiror owns a total of 28,166,666 common shares of the issuer, representing approximately 11.55 per cent of the issued and outstanding common shares of the issuer. The acquiror also owns warrants exercisable to acquire up to 4,333,333 common shares of the issuer. If the acquiror was to exercise all of his warrants, he would then own 32,499,999 common shares of the issuer, representing approximately 13.09 per cent of the issued and outstanding shares of the issuer on a partially diluted basis, assuming that no further common shares of the issuer have been issued.
The securities acquired by the acquiror will be held for investment purposes. The acquiror may, depending on market and other conditions, increase or decrease its beneficial ownership of the issuer's securities, whether in the open market, by privately negotiated agreements or otherwise, subject to a number of factors, including general market conditions, and other available investment and business opportunities.
The proceeds from the private placement will be used by the issuer for general working capital.
This press release is being issued pursuant to National Instrument 62-103, the Early Warning System and Related Takeover Bid and Insider Reporting Issues, which requires a report to be filed containing additional information with respect to the foregoing matters. A copy of the acquiror's early warning report will be available on the issuer's profile on SEDAR.
The issuer's head office is located at 15444 Royal Ave., White Rock, B.C., V4B 1N1.