May 8, 2014 – Toronto, Ontario – Matica Resources Inc. (GRF) (“Matica” or the “Company”) is pleased to announce that the Company is currently reviewing a number of medical marijuana projects. It is the Company’s intent to pursue, source and evaluate new potential projects in the medical marijuana sector, including but, not limited to, agriculture, medical, technology, and real-estate areas of the sector.
The Company is seeking to diversify its prospects. The current state of the mineral resource sector is such that in order to enhance shareholder value, Matica must look at opportunities outside of the mineral resource sector. The medical marijuana sector provides a new opportunity for growth in a new industry. Boris Ziger, President and Chief Executive Officer of Matica Inc., states: “I believe that it is the duty of management to adapt to changing market conditions and to work to create real shareholder value.” At this point in time, no transactions are in place, nor can there be any assurance that a new project will be concluded in the future.
The Company will be offering a private placement of up to 9,000,000 units (the “Units”) at a price of $0.05 per Unit for aggregate gross proceeds of up to $450,000 (the “Offering”). Each Unit will be comprised of one Common Share and one common share purchase warrant of the Company (a “Warrant”). Each whole Warrant will entitle the holder to purchase one Common Share of the Company for a period of 18 months from the closing date at an exercise price of $0.07 per Warrant Share.
The Company may pay a finder’s fee to agents of the Company consisting of: (i) a cash fee in an amount of up to 10% of the proceeds raised by such finder as part of the Offering, and (ii) a number of finder’s warrants entitling the holder thereof to purchase Common Shares (“Finder’s Warrant”) to a maximum number equal to 10% of the number Units placed through the finder as part of the Offering. The proceeds of the Offering will be used for general working capital purposes.
ABOUT MATICA GRAPHITE
While pursuing alternative projects, Matica will continue to conduct exploration on its resource projects. Matica has graphite projects in Buckingham Quebec. Buckingham is a historic graphite producing area which has been the scene of renewed exploration activity. The Company has recently entered into an option for an additional 22 claims in the Buckingham area doubling its land position there. The Company has also signed an LOI for a graphite property in Nevada, the Grumpy Lizard, and is currently evaluating the project. Matica trades on the CSE under the symbol GRF. For more information on Matica Graphite visit the website at Maticagraphite.com.
On behalf of the board of Directors
MATICA RESOURCES INC.
CEO & Chairman
For further information, please contact Boris Ziger, Chief Executive Officer, at:
Certain information in this press release may constitute forward-looking information. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results might differ materially from results suggested in any forward-looking statements. The Corporation assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward looking-statements unless and until required by securities laws applicable to the Corporation. Additional information identifying risks and uncertainties is contained in the Corporation’s filings with the Canadian securities regulators, which filings are available at www.sedar.com.
The CSE has not reviewed, approved or disapproved the content of this press release.