Grid Metals Corp. Announces Terms for CAD $6.3 Million Funding Agreement with Lithium Royalty Corp.
GRID METALS CORP. (TSXV:GRDM)(OTCQB:MSMGF) (“Grid” or the “Company”) today announced it has entered into a term sheet with Lithium Royalty Corp. ( “LRC”) ( a leading pure play battery royalty and streaming company ) to finance its lithium assets in Manitoba and Ontario. The closing of the transaction outlined in the term sheet will be subject to final due diligence of LRC and documentation. Upon closing Grid will receive 1) proceeds US$1.25 Million from the sale of a 25% interest in its lithium projects, 2) US$2.25 million from the grant of project royalties on its lithium assets and 3) C$ 1,650,356 from completion of a private placement from LRC with all proceeds advanced to Grid at closing. Total funding to Grid in CAD $ equivalent is approximately CAD $ 6.3 million. The transaction also envisions the creation of a lithium focused spin-out company.
