Exhibit 99.5
SUBSCRIPTION
AGREEMENT
A
completed and originally executed copy of this Subscription Agreement, the Corporate Placee Registration Form attached as Schedule A
(if the Purchaser is a corporation, trust, portfolio manager or other entity and the Purchaser will hold more than 5% of the issued
and outstanding common shares of Gold Standard Ventures Corp. upon completion of the Offering (as defined below) and the Purchaser
has not previously filed a Corporate Placee Registration Form with the TSX Venture Exchange or such form filed with the TSX Venture
Exchange is not current), the Canadian Accredited Investor Status Certificate attached as Schedule B (if the Purchaser is a resident
of Canada) and the U.S. Accredited Investor Status Certificate attached as Schedule C (if the Purchaser is a U.S. Purchaser as
defined herein) must be delivered no later than 5:00 p.m. (Eastern time) on February 25, 2014 to:
Macquarie Capital
Markets Canada Ltd., Brookfield Place, 000 Xxx Xxxxxx, Xxxxx 0000, Xxxxxxx, Xxxxxxx, X0X 0X0
Attention: Xxxxx
Xxxx (email: xxxxx.xxxx@xxxxxxxxx.xxx; telephone: 000.000.0000; facsimile: 416.848.3593)
The
securities being subscribed for hereunder have not been registered for offer or sale under applicable securities laws in canada
or the united states and may not be offered or sold by a purchaser in canada or the united states unless registered under such
securities laws or an exemption from the prospectus and registration requirements thereof is available.
Issuer: |
Gold Standard Ventures Corp.
(the “Company”) |
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Issue: |
Units, each Unit consisting
of one Common Share (defined below) and one-half of one Warrant (defined below) |
Price Per Unit: Cdn.$0.72 |
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Number of Units Purchased: |
1,944,444 |
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Total Subscription Price: |
Cdn.$1,399,999.68 |
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Name and Address of Purchaser: |
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If the Purchaser is signing as agent for a principal and is not deemed to be purchasing as principal pursuant to National Instrument 45- 106 Prospectus and Registration Exemptions, complete the following and ensure that Schedule A and B is completed in respect of such principal: |
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Name: |
FCMI Parent Co. |
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Email: |
xxxxxxxxx@xxxxxxxxx.xx |
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Name of Principal: |
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Telephone: |
000 000-0000 |
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Email: |
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Address: |
000 Xxx Xxxxxx, Xxxxx 000 |
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Telephone: |
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(Xxxxxx Xxxxxxx) |
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Xxxxxxx, XX |
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Address: |
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(City and Province/State or Country) |
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(Xxxxxx Xxxxxxx) |
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X0X 0X0 |
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(Postal/Zip Code) |
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(City and Province/State or Country) |
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(Postal/Zip Code) |
Alternate Registration Instructions
for Certificates: If other than in the name of the Purchaser:
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Name: |
NBCN
Inc. i/t/f FCMI Parent Co. |
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Address: |
0000
xx xx Xxxxxxxxxxx Xx. W |
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(Street Address) |
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(Account
no. intentionally omitted) |
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Montreal
QC |
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(City and Province/State or Country) |
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H3B
5J2 |
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(Postal/Zip Code) |
Delivery
Instructions: The name and address (including contact name and telephone number) of the person to whom the certificates representing
the securities purchased hereunder are to be delivered, if other than the Purchaser:
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Name: |
FCMI
Parent Co. |
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Address: |
000
Xxx Xxxxxx, Xxxxx 000 |
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(Xxxxxx Address) |
Contact Name: |
Xxx
Xxxxxxxx |
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Toronto
ON |
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(City and Province/State or Country) |
Telephone: |
000
000-0000 |
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M5J
2T3 |
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(Postal/Zip Code) |
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TSX-Venture Exchange Corporate Placee Registration Form |
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1. State whether Purchaser is an Insider* of the Company (as defined below under “Definitions”): |
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If the Purchaser is not an individual and will hold more than 5% of the issued and outstanding Shares (as defined below) upon completion of the Offering, then the Purchaser, either: |
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Yes x No o |
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[CHECK APPROPRIATE] |
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2. State whether Purchaser is a member of the Pro Group (as defined under the policies of the TSX Venture Exchange): |
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XX |
has previously filed with the TSX Venture Exchange a Form 4C, Corporate Placee Registration Form, and represents and warrants that there has been no change to any of the information in the Form 4C previously filed with the TSX Venture Exchange up to the date of this Subscription Agreement; or |
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Yes o No x |
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3. State whether the Purchaser is a “registrant” (as defined below under “Definitions”): |
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hereby delivers to the Company a duly signed and completed Form 0X Xxxxxxxxx Xxxxxx Registration Form, in the form attached hereto as Schedule A for filing with the TSX Venture Exchange. |
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Yes o No x |
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4. Number of securities of the Company already held: |
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If the Purchaser is providing a Corporate Placee Form with this Subscription Agreement, the Purchaser authorizes the Company to submit the Corporate Placee Form to the TSX Venture Exchange. |
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TO: | Gold
Standard
Ventures
Corp. |
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AND
TO: | Macquarie
Capital Markets Canada Ltd. |
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AND
TO: | Medalist
Capital Ltd. |
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AND
TO: | TD Securities
Inc. |
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AND
TO: | National
Bank Financial Inc. |
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AND
TO: | U.S. Affiliates
(as defined below) |
1. Subscription.
The undersigned (the “Purchaser”) hereby tenders to Gold Standard
Ventures Corp. (the “Company”) this subscription offer which, upon acceptance by the Company, will constitute
an agreement (the “Subscription Agreement”) of the Purchaser with the Company to purchase from the Company
and, on the part of the Company, to sell to the Purchaser, the number of Units (as defined below) set out on page 1 hereof (collectively,
the “Purchased Securities”) at the price (the “Purchase Price”) of Cdn.$0.72 per Unit, all
on the terms and subject to the conditions set forth in this Subscription Agreement.
2. Agency
Agreement. The Purchaser acknowledges that the Purchased Securities will be issued in connection with the creation and issue
of an aggregate of approximately 13,888,890 Units (and an agents’ option (the “Agents’ Option”)
exercisable by the Agents to sell up to an additional 2,083,334 Units) for an aggregate subscription price of approximately Cdn.$10
million (or Cdn.$11.5 million if the Agent’s Option is exercised in full) to be sold by the Company (the “Offering”)
pursuant to an agreement (the “Agency Agreement”) to be dated on or before the Closing Date (as defined below)
between Macquarie Capital Markets Canada Ltd. (the “Lead Agent”), Medalist Capital Ltd., TD Securities
Inc. and National Bank Financial Inc. (collectively with the Lead Agent, the “Agents”) and the Company. The
Agents have agreed to use commercially reasonable efforts to sell the Units in the Offering. By its acceptance of this offer,
the Company covenants, agrees and confirms that the Purchaser will have the benefit of all of the representations, warranties,
covenants and conditions provided to or for the benefit of the Agents under the Agency Agreement in addition to the representations,
warranties, covenants, agreements, terms and conditions set forth hereunder.
In addition,
the Purchaser acknowledges that the definitive terms and conditions of the Warrants (as defined below) will be set forth in the
Warrant Indenture (as defined below).
3. Definitions.
In this Subscription Agreement, unless the context otherwise requires:
| (a) | “affiliate”,
“distribution”
and
“insider”
have
the
respective
meanings
ascribed
to
them
in
the
Securities
Act
(British
Columbia); |
| (b) | “Canadian
Accredited
Investor
Status
Certificate”
means
the
accredited
investor
status
certificate
required
to
be
completed
by
a
Purchaser
who
is
a
resident
of
Canada,
in
the
form
of
Schedule
B
attached
hereto; |
| (c) | “Closing”
means
the
completion
of
the
issue
and
sale
by
the
Company
and
the
purchase
by
the
Purchasers
of
the
Units
pursuant
to
the
Agency
Agreement
and
this
Subscription
Agreement; |
| (d) | “Closing
Date”
means
February
28,
2014
or
such
other
date
as
the
Company
and
the
Lead
Agent
may
agree
pursuant
to
the
Agency
Agreement; |
| (e) | “Closing
Time”
means
7:00
a.m.
(Pacific
time)
on
the
Closing
Date
or
such
other
time
as
the
Company
and
the
Lead
Agent
may
agree
pursuant
to
the
Agency
Agreement; |
| (f) | “Common
Shares”
means
the
Shares
comprising
part
of
the
Units; |
| (g) | “Corporate
Placee
Registration
Form”
means
the
form
to
be
completed
by
all
Purchasers
that
are
not
individuals
and
will
hold
more
than
5%
of
the
issued
and
outstanding
Shares
upon
completion
of
the
Offering
if
such
Purchasers
have
not
previously
filed
a
Corporate
Placee
Registration
Form
with
the
TSXV
or
such
form
filed
with
the
TSXV
is
not
current,
as
required
by
the
TSXV
in
the
form
of
Schedule A
attached
hereto; |
| (h) | “Designated
Jurisdictions”
means
British
Columbia,
Alberta,
Saskatchewan,
Manitoba,
Ontario,
Québec,
the
United
States,
certain
states
of
the
United
States
and
such
other
jurisdictions
as
the
Company
and
the
Agents
may
agree; |
| (i) | “XXXXX”
means
the
Electronic
Data
Gathering,
Analysis,
and
Retrieval
system
implemented
by
the
SEC; |
| (j) | “Financial
Statements”
means
the
audited
annual
financial
statements
of
the
Company
as
at
and
for
the
year
ended
December
31,
2012
and
any
subsequently
released
audited
annual
financial
statements
of
the
Company
and
unaudited
interim
financial
statements
of
the
Company,
together
with
any
management’s
discussion
and
analysis
in
relation
thereto; |
| (i) | a
director
or
an
officer
of
the
Company, |
| (ii) | a
director
or
an
officer
of
a
person
that
is
itself
an
insider
or
a
subsidiary
of
the
Company, |
| (A) | beneficial
ownership
of,
or
control
or
direction
over,
directly
or
indirectly,
or |
| (B) | a
combination
of
beneficial
ownership
of,
and
control
or
direction
over,
directly
or
indirectly, |
securities
of an issuer carrying more than 10% of the voting rights attached to all the Company’s outstanding voting securities, excluding,
for the purpose of the calculation of the percentage held, any securities held by the person as underwriter in the course of a
distribution;
| (l) | “material”
means
material
in
relation
to
the
Company
and
its
subsidiaries
considered
on
a
consolidated
basis; |
| (m) | “material
change”
means
any
change
in
the
business,
operations
or
capital
of
the
Company
(except
the
transactions
contemplated
herein)
that
would
reasonably
be
expected
to
have
a
significant
effect
on
the
market
price
or
value
of
the
Shares
and
includes
a
decision
to
implement
such
a
change
made
by
the
board
of
directors
of
the
Company
or
by
senior
management
of
the
Company
who
believe
that
confirmation
of
the
decision
by
the
board
of
directors
is
probable; |
| (n) | “NYSE
MKT”
means
the
NYSE
MKT,
LLC; |
| (o) | “Public
Record”
means
any
investor
presentations
used
by
the
Company
and
the
information
circulars,
material
change
reports,
financial
statements,
management’s
discussion
and
analysis,
press
releases,
business
acquisition
reports,
technical
reports
and
other
continuous
disclosure
documents
filed
on
the
Company’s
website,
with
the
Stock
Exchange,
with
any
applicable
Canadian
securities
regulatory
authority
(including
on
SEDAR)
or
with
the
SEC
(including
on
XXXXX)
on
or
during
the
12
months
preceding
the
date
hereof; |
| (p) | “Purchasers”
means
all
purchasers
of
the
Units
including
the
Purchaser; |
| (q) | “registrant”
means
a
person
registered
or
required
to
be
registered
under
applicable
securities
legislation; |
| (r) | “Regulation
D”
means
Regulation
D
promulgated
by
the
SEC
under
the
U.S.
Securities
Act; |
| (s) | “Regulation S”
means
Regulation S
promulgated
by
the
SEC
under
the
U.S.
Securities
Act; |
| (t) | “SEC”
means
the
United
States
Securities
and
Exchange
Commission; |
| (u) | “Securities”
means
collectively,
the
Units,
the
Common
Shares,
the
Warrants
and
the
Warrant
Shares; |
| (v) | “Securities
Commissions”
means,
collectively,
the
securities
commission
or
other
securities
regulatory
authority
in
each
of
the
Designated
Jurisdictions
including,
but
not
limited
to,
the
SEC; |
| (w) | “Securities
Laws”
means,
collectively,
the
applicable
securities
laws
of
each
of
the
Designated
Jurisdictions
and
the
respective
regulations
and
rules
made
and
forms
prescribed
thereunder
together
with
all
applicable
published
policy
statements,
blanket
orders,
rulings
and
notices
of
the
Securities
Commissions,
as
well
as
the
rules
of
the
Stock
Exchange; |
| (x) | “SEDAR”
means
the
System
for
Electronic
Document
Analysis
and
Retrieval; |
| (y) | “Shares”
means
common
shares
without
par
value
in
the
capital
of
the
Company; |
| (z) | “Stock
Exchange”
means
the
TSXV
and
the
NYSE
MKT; |
| (aa) | “TSXV”
means
the
TSX
Venture
Exchange; |
| (bb) | “United
States”
has
the
meaning
ascribed
to
it
in
Regulation
S
under
the
U.S.
Securities
Act; |
| (cc) | “Units”
means
the
units
being
sold
pursuant
to
the
Offering,
each
such
unit
consisting
of
one
Common
Share
and
one-half
of
one
Warrant; |
| (dd) | “U.S.
Accredited
Investor
Status
Certificate”
means
the
accredited
investor
status
certificate
required
to
be
completed
by
a
U.S.
Purchaser,
in
the
form
of
Schedule
C
attached
hereto; |
| (ee) | “U.S.
Affiliates”
means
the
United
States
registered
broker-dealer
affiliates
of
the
Agents; |
| (ff) | “U.S.
Person”
means
a
“U.S.
Person”
as
defined
in
Regulation
S; |
| (gg) | “U.S.
Purchaser”
means
any
(i)
person
located
in
the
United
States
or
a
U.S.
Person,
(ii)
person
purchasing
securities
on
behalf
of
any
person
in
the
United
States
or
a
U.S.
Person,
(iii)
person
that
receives
or
received
an
offer
of
the
Purchased
Securities
while
in
the
United
States,
or
(iv)
person
in
the
United
States
at
the
time
the
Purchaser’s
buy
order
was
made
or
this
Subscription
Agreement
was
executed
or
delivered; |
| (hh) | “U.S.
Securities
Act”
means
the
United
States
Securities
Act
of
1933,
as
amended; |
| (ii) | “Warrant
Indenture”
means
an
indenture
dated
the
Closing
Date
to
be
entered
into
with
a
trustee
pursuant
to
which
the
Warrants
will
be
issued; |
| (jj) | “Warrant
Shares”
means
the
Shares
issuable
upon
the
exercise
of
the
Warrants
in
accordance
with
their
terms;
and |
| (kk) | “Warrants”
means
the
Share
purchase
warrants
of
the
Corporation
comprising
part
of
the
Units
and
having
the
characteristics
described
in
section
4
below. |
All
other capitalized terms not otherwise defined herein shall have the meanings ascribed thereto in the Agency Agreement.
4. Warrant
Indenture. The Warrants will be represented and governed by the Warrant Indenture, which will contain provisions to the following
effect:
| (a) | Right
to
Shares
-
Each
whole
Warrant
will
be
exercisable
to
acquire,
subject
to
adjustment
as
set
out
in
the
Warrant
Indenture,
one
Warrant
Share
at
the
price
of
Cdn$1.00
per
Warrant
Share
(the
“Exercise
Price”)
at
any
time
from
the
Closing
Date
until
4:30 p.m.
(Pacific
time)
on
the
earlier
of:
(i)
the
day
that
is
24
months
after
the
Closing
Date;
and
(ii)
the
30th
day
following
the
date
on
which
the
Company
provides
notice
to
the
holder
of
the
Warrant
that
the
Acceleration
Event
(as
defined
below)
has
occurred
(such
earlier
date,
the
“Expiry
Date”). |
| (b) | Adjustment
Provisions
-
The
number
of
Warrant
Shares
issuable
on
the
exercise
of
a
Warrant
and
the
Exercise
Price
will
be
subject
to
adjustment
in
certain
events,
including
the
subdivision,
consolidation,
change
or
reclassification
of
Shares,
the
issue
of
Shares
by
way
of
stock
dividends
other
than
dividends
paid
in
the
ordinary
course,
and
the
distribution
to
all
or
substantially
all
the
holders
of
the
Shares
of
rights
entitling
them
to
subscribe
for
or
purchase
Shares. |
| (c) | Acceleration
-
If
the
closing
price
of
the
Shares
on
the
TSXV
is
equal
to
or
greater
than
Cdn$1.35
for
a
period
of
15
consecutive
trading
days
(the
“Acceleration
Event”),
then
the
Company
will
have
the
option
at
any
time
prior
to
the
Expiry
Date
to
provide
notice
to
the
holders
of
the
Warrants
that
the
Acceleration
Event
has
occurred,
which
notice
may
be
provided
by
way
of
news
release. |
| (d) | Fractional
Warrants
-
No
fractional
Warrants
will
be
issued.
To
the
extent
the
Purchaser
subscribes
for
a
number
of
Units
that
would
otherwise
entitle
the
Purchaser
to
a
fraction
of
a
whole
Warrant,
the
number
of
Warrants
to
be
issued
to
the
Purchaser
will
be
rounded
down
to
the
nearest
whole
number. |
| (e) | Dividends
-
Warrants
that
are
exercised
will
not
be
entitled
to
any
cash
or
stock
dividends
or
any
other
distributions
paid
or
declared
but
unpaid
on
the
Shares
during
the
period
from
the
Closing
Date
to
the
time
of
such
exercise. |
| (f) | Transferable
-
The
Warrants
will
be
transferable,
subject
to
compliance
with
all
applicable
laws.
However,
the
Warrants
will
not
be
listed
for
trading
on
the
Stock
Exchange
or
any
other
public
market. |
5. Delivery
and Payment. The Purchaser agrees that the following shall be delivered to the Lead Agent at the address and by the date and
time set out on the face page hereof, or such other time, date or place as the Agents may advise:
| (b) | if
the
Purchaser
is
not
an
individual,
will
hold
more
than
5%
of
the
issued
and
outstanding
Shares
upon
completion
of
the
Offering
and
has
not
previously
filed
a
Corporate
Placee
Registration
Form
with
the
TSXV
or
such
form
filed
with
the
TSXV
is
not
current,
a
completed
and
duly
signed
copy
of
the
Corporate
Placee
Registration
Form
attached
as
Schedule
A; |
| (c) | if
the
Purchaser
is
a
resident
of
Canada
and
purchasing
as
an
“accredited
investor”,
a
completed
and
duly
signed
copy
of
the
Canadian
Accredited
Investor
Status
Certificate
attached
as
Schedule
B; |
| (d) | if
the
Purchaser
is
a
U.S.
Purchaser,
a
completed
and
duly
signed
copy
of
the
U.S.
Accredited
Investor
Status
Certificate
attached
as
Schedule
C; |
| (e) | any
other
documents
required
by
applicable
securities
laws
which
the
Agents,
the
U.S.
Affiliates
or
the
Company
requests;
and |
| (f) | a
certified
cheque
or
bank
draft
made
payable
on
or
before
the
Closing
Date
(or
such
other
date
as
the
Agents
may
advise)
in
same
day
freely
transferable
Canadian
funds
at
par
in
Toronto,
Ontario
to
“Macquarie
Capital
Markets
Canada
Ltd.”
representing
the
aggregate
Purchase
Price
payable
by
the
Purchaser
for
the
Purchased
Securities,
or
such
other
method
of
payment
against
delivery
of
the
Purchased
Securities
as
the
Agents
may
accept. |
The
Purchaser acknowledges and agrees that such undertakings, questionnaires and other documents, when executed and delivered by the
Purchaser, will form part of and will be incorporated into this Subscription Agreement with the same effect as if each constituted
a representation and warranty or covenant of the Purchaser hereunder in favour of the Company, the Agents and the U.S. Affiliates.
The Purchaser consents to the filing of such undertakings, questionnaires and other documents as may be required to be filed with
the Stock Exchange or other securities regulatory authority in connection with the transactions contemplated hereby. The Purchaser
acknowledges and agrees that this offer, the aggregate Purchase Price and any other documents delivered in connection herewith
will be held by the Agents until such time as the conditions referred to in section 8 below are satisfied by the Company or waived
by the Lead Agent, on behalf of the Agents.
6. Closing.
The transactions contemplated hereby will be completed at the Closing at the offices of Xxxxxx Xxxxxx Xxxxxxx LLP in Vancouver,
British Columbia.
The
Purchaser acknowledges that the Purchased Securities will be available for delivery to it (unless the Purchased Securities are
delivered by book-entry form only) at the Closing against payment of the amount of the aggregate Purchase Price for the Purchased
Securities.
At
the discretion of the Lead Agent, the Purchased Securities may be registered in the name of CDS & Co. and represented by a
book entry global certificate or on an uncertificated basis through an electronic book entry system notwithstanding the registration
instruction provided on page 1 of this Subscription Agreement, provided that if the Purchaser is a U.S. Purchaser, the Purchaser
will receive a definitive physical certificate representing its interest in the Purchased Securities.
In
the event the Purchased Securities are represented at Closing through a book-based system, the ability of the Purchaser to pledge
such shares or otherwise take action with respect to the Purchaser’s interest in such shares may be limited due to the lack
of the shares being evidenced by physical certificates in the name of the Purchaser.
The
Lead Agent, on behalf of the Agents, is hereby irrevocably appointed as the Purchaser’s agent to represent the Purchaser
at the Closing for the purpose of all matters relating to this Offering and this Subscription
Agreement and deliveries of documents and Purchased Securities and is hereby authorized by the Purchaser for and on behalf
of the Purchaser, to extend such time periods, modify or waive such conditions as may be contemplated herein or in the Agency
Agreement or, in its absolute discretion, as it deems appropriate. Without limiting the generality of the foregoing, the Lead
Agent, on behalf of the Agents, is specifically and exclusively authorized to:
| (a) | waive,
in
whole
or
in
part,
representations
and
warranties,
covenants
or
conditions
contained
in
the
Agency
Agreement; |
| (b) | correct
minor
errors
or
omissions
in
the
information
provided
by
the
Purchaser
in
this
Subscription
Agreement,
the
Corporate
Placee
Registration
Form
and
any
other
forms
delivered
by
the
Purchaser
in
connection
with
the
transactions
contemplated
hereby;
and |
| (c) | save
and
except
for
U.S.
Purchasers,
amend
the
registration
instructions
provided
by
the
Purchaser
for
the
purposes
of
issuing
one
global
certificate
or
creating
one
global
registration
for
the
Offering. |
In
addition, the Purchaser acknowledges and agrees that the Lead Agent, on behalf of the Agents, is entitled to exercise or not to
exercise, in their absolute discretion, the rights of termination in the Agency Agreement.
The
Purchaser will take up, purchase and pay for the Purchased Securities at the Closing upon acceptance of this offer by the Company
and the satisfaction by the Company, or waiver on behalf of the Purchaser by the Lead Agent (on behalf of the Agents) of the conditions
referred to in section 8 below.
7. Representations,
Warranties and Covenants of the Company. By accepting this offer, the Company represents and warrants to the Purchaser as
follows:
| (a) | the
Company
has
been
duly
incorporated
and
is
validly
subsisting
under
the
laws
of
British
Columbia
and
has
all
requisite
corporate
power
and
capacity
to
enter
into,
and
carry
out
its
obligations
under,
this
Subscription
Agreement; |
| (b) | on
the
Closing
Date,
the
Company
will
have
taken
all
corporate
steps
and
proceedings
necessary
to
approve
the
transactions
contemplated
hereby,
including
the
execution
and
delivery
of
this
Subscription
Agreement; |
| (c) | the
authorized
capital
of
the
Company
consists
of
an
unlimited
number
of
Shares,
of
which
91,756,618
Shares
were
issued
as
of
January
31,
2014
(and
5,975,000
Shares
were
reserved
for
issuance
upon
conversion
of
outstanding
convertible
securities),
and
the
outstanding
Shares
of
the
Company
are
fully
paid
and
non-assessable; |
| (d) | the
outstanding
Shares
are
listed
and
posted
for
trading
on
the
Stock
Exchange; |
| (e) | no
order
ceasing
or
suspending
trading
in
the
Shares
or
any
other
securities
of
the
Company
nor
prohibiting
the
sale
of
such
securities
has
been
issued
to
the
Company
or
its
directors,
officers
or
promoters
and,
to
the
best
of
the
knowledge
of
the
Company,
no
investigations
or
proceedings
for
such
purposes
are
pending
or
threatened; |
| (f) | prior
to
the
Closing
Date,
the
Company
will
have
obtained
all
required
conditional
approvals
from
the
Stock
Exchange
in
order
to
permit
the
completion
of
the
transactions
contemplated
hereby; |
| (g) | the
Company
is
a
reporting
issuer
in
good
standing
under
the
securities
laws
of
the
Provinces
of
British
Columbia,
Alberta
and
Ontario
and
no
material
change
relating
to
the
Company
has
occurred
with
respect
to
which
the
requisite
material
change
report
has
not
been
filed
under
any
applicable
securities
laws
in
such
Provinces
and
no
such
disclosure
has
been
made
on
a
confidential
basis; |
| (h) | the
Company
has
full
corporate
power
and
authority
to
undertake
the
Offering,
to
issue
the
Securities,
and
at
the
Closing
Time,
the
Common
Shares
and
the
Warrants
will
be
duly
and
validly
created,
authorized
and
issued,
the
Common
Shares
will
be
fully
paid
and
non-assessable
and
all
Warrant
Shares
issuable
upon
the
exercise
of
Warrants
will
be
duly
and
validly
authorized,
allotted
and
reserved
for
issuance
upon
exercise
of
Warrants
and
will,
upon
exercise
of
the
Warrants,
be
issued
as
fully
paid
and
non-assessable
Shares; |
| (i) | the
Company
and
its
subsidiaries
are
the
beneficial
owners
of
or
have
the
right
to
acquire
the
interests
in,
or
have
a
valid
leasehold
interest
in,
the
properties,
business
and
assets
referred
to
in
the
Public
Record
and
any
and
all
agreements
pursuant
to
which
the
Company
or
its
subsidiaries
holds
or
will
hold
any
such
interest
in
property,
business
or
assets
are
in
good
standing
in
all
material
respects
according
to
their
terms,
and
the
properties
are
in
good
standing
in
all
material
respects
under
the
applicable
statutes
and
regulations
of
the
jurisdictions
in
which
they
are
situated,
except
such
as
do
not
materially
and
adversely
affect
the
value
of
such
properties,
business
or
assets
and
do
not
materially
interfere
with
the
use
made
or
proposed
to
be
made
of
such
properties,
business
or
assets
by
the
Company
or
its
subsidiaries; |
| (j) | the
Public
Record:
(i)
is
in
all
material
respects
accurate
and
omits
no
material
facts,
the
omission
of
which
makes
the
Public
Record
or
any
particulars
therein,
misleading
or
incorrect
at
the
time
such
statements
were
made;
and
(ii)
does
not
include
any
untrue
statement
of
a
material
fact
or
omit
to
state
a
material
fact
required
to
be
stated
therein
or
necessary
to
make
the
statements
therein
not
misleading; |
| (k) | no
actions,
suits,
inquiries
or
proceedings
are
pending
or,
to
the
knowledge
of
the
Company,
are
contemplated
or
threatened
to
which
the
Company
or
its
subsidiaries
is
a
party
or
to
which
the
property
of
the
Company
or
its
subsidiaries
is
subject
that
would
result
individually
or
in
the
aggregate
in
any
material
adverse
change
in
the
operations,
business
or
condition
(financial
or
otherwise)
of
the
Company
or
its
subsidiaries; |
| (l) | the
Financial
Statements
present
fairly,
in
all
material
respects,
the
financial
position
of
the
Company
and
its
subsidiaries
on
a
consolidated
basis
as
at
the
dates
set
out
therein
and
the
results
of
their
operations
and
the
changes
in
their
financial
position
for
the
periods
then
ended,
in
accordance
with
Canadian
generally
accepted
accounting
principles
for
any
fiscal
year
ended
before
January
1,
2011,
and
International
Financial
Reporting
Standards
thereafter; |
| (m) | except
in
each
case
as
disclosed
in
the
Public
Record,
there
has
not
been
any
material
change
in
the
assets,
liabilities
or
obligations
(absolute,
accrued,
contingent
or
otherwise)
of
the
Company
or
its
subsidiaries,
as
set
forth
in
the
Financial
Statements,
and
there
has
not
been
any
material
adverse
change
in
the
business,
operations
or
condition
(financial
or
otherwise)
or
results
of
the
operations
of
the
Company
or
its
subsidiaries,
since
December
31,
2012; |
| (n) | the
Company
and
its
subsidiaries
have
conducted
and
are
conducting
their
businesses
in
material
compliance
with
all
applicable
laws,
by-laws,
rules
and
regulations
of
each
jurisdiction
in
which
their
businesses
are
carried
on
and
hold
all
material
licences,
registrations,
permits,
consents
or
qualifications
(whether
governmental,
regulatory
or
otherwise)
required
in
order
to
enable
their
businesses
to
be
carried
on
as
now
conducted
or
as
proposed
to
be
conducted
within
the
following
12
months,
and
all
such
licences,
registrations,
permits,
consents
and
qualifications
are
valid
and
subsisting
and
in
good
standing
and
neither
the
Company
nor
its
subsidiaries
has
received
any
notice
of
proceedings
relating
to
the
revocation
or
modification
of
any
such
license,
registration,
permit,
consent
or
qualification
which,
if
the
subject
of
an
unfavourable
decision,
ruling
or
finding,
would
materially
adversely
affect
the
conduct
of
the
business,
operations,
condition
(financial
or
otherwise)
or
income
of
the
Company
or
its
subsidiaries; |
| (o) | the
Company
has
taken
or
will
take
all
steps
as
may
be
necessary
for
it
to
comply
with
the
requirements
of
the
applicable
securities
laws
of
the
Designated
Jurisdictions,
and
such
other
jurisdictions
in
which
the
Units
are
sold,
and
the
Company
is
entitled
to
avail
itself
of
the
applicable
prospectus
and
registration
exemptions
available
under
the
applicable
securities
laws
of
the
Designated
Jurisdictions
and
other
applicable
jurisdictions
in
respect
of
the
sale
of
Units; |
| (p) | the
Company
has
filed
all
documents
that
it
is
required
to
file
under
the
continuous
disclosure
provisions
of
applicable
securities
laws
in
Canada
and
under
the
requirements
of
the
United
States
Securities
Exchange
Act
of
1934,
as
amended,
and
the
rules
and
regulations
promulgated
thereunder
including,
but
not
limited
to,
annual
and
interim
financial
information
and
annual
reports,
press
releases
disclosing
material
changes,
material
change
reports
and
technical
reports; |
| (q) | the
issue
of
the
Securities
will
not
be
subject
to
any
pre-emptive
right
or
other
contractual
right
to
purchase
securities
granted
by
the
Company
or
to
which
the
Company
is
subject; |
| (r) | neither
the
Company
nor
any
of
its
subsidiaries
is
a
party
to
any
actions,
suits
or
proceedings
which
could
materially
affect
its
business
or
financial
condition,
and
to
the
best
of
the
Company’s
knowledge
no
such
actions,
suits
or
proceedings
are
contemplated
or
have
been
threatened; |
| (s) | there
are
no
judgments
against
the
Company
or
any
of
its
subsidiaries
which
are
unsatisfied,
nor
are
there
any
consent
decrees
or
injunctions
to
which
the
Company
or
any
of
its
subsidiaries
is
subject; |
| (t) | the
Company
has
no
obligation
or
liability,
contingent
or
otherwise,
for
brokerage
fees,
finder’s
fees,
commissions,
or
other
forms
of
compensation
with
respect
to
the
Offering,
except
for
the
fees
payable
to
the
Agents
disclosed
in
this
Subscription
Agreement; |
| (u) | the
Company
and
its
subsidiaries
have
filed
all
federal,
provincial,
local
and
foreign
tax
returns
which
are
required
to
be
filed,
or
have
requested
extensions
thereof,
and
have
paid
all
taxes
required
to
be
paid
by
them
and
any
other
assessment,
fine
or
penalty
levied
against
them,
to
the
extent
that
any
of
the
foregoing
is
due
and
payable; |
| (v) | the
Company
and
its
subsidiaries
have
established
on
their
books
and
records
reserves
which
are
adequate
for
the
payment
of
all
taxes
not
yet
due
and
payable
and
there
are
no
liens
for
taxes
on
the
assets
of
the
Company
or
its
subsidiaries
except
for
taxes
not
yet
due,
and
there
are
no
audits
of
any
of
the
tax
returns
of
the
Company
or
its
subsidiaries
which
are
known
by
the
Company’s
management
to
be
pending,
and
there
are
no
claims
which
have
been
or
may
be
asserted
relating
to
any
such
tax
returns
which,
if
determined
adversely,
would
result
in
the
assertion
by
any
governmental
agency
of
any
deficiency
which
would
have
a
material
adverse
effect
on
the
properties,
business
or
assets
of
the
Company
or
its
subsidiaries;
and |
| (w) | the
Company
owns
or
possesses
adequate
rights
to
use
all
material
patents,
trademarks,
service
marks,
trade
names,
copyrights,
trade
secrets,
information,
proprietary
rights
and
other
intellectual
property
necessary
for
the
business
of
the
Company
now
conducted
and
proposed
to
be
conducted,
without
any
conflict
with
or
infringement
of
the
rights
of
others.
The
Company
has
received
no
communication
alleging
that
the
Company
has
violated
or,
by
conducting
its
business
as
proposed,
would
violate
any
of
the
patents,
trademarks,
service
marks,
trade
names,
copyrights
or
trade
secrets
or
other
proprietary
rights
of
any
other
person
or
entity.
Neither
the
execution
or
delivery
of
this
Subscription
Agreement
nor
the
carrying
on
of
the
business
of
the
Company
by
the
employees
of
the
Company,
nor
the
conduct
of
the
business
of
the
Company
will
conflict
with
or
result
in
a
breach
of
the
terms,
conditions,
or
provisions
of
or
constitute
a
default
under,
any
contract,
covenant
or
instrument
under
which
any
of
such
employees
is
now
obligated. |
The
Company covenants and agrees with the Purchaser that the Company will comply with all filing and other disclosure requirements
under Securities Laws with respect to the Offering.
In
addition, the Company agrees that the Purchaser will have the benefit of all the representations, warranties and covenants given
by the Company in the Agency Agreement and further agrees that all such representations, warranties and covenants will be deemed
to be incorporated herein with such changes as are necessary in order to reflect that such representations, warranties and covenants
are being made by the Company to the Purchaser. The Company acknowledges that the Purchaser is relying on the representations
and warranties contained in this Subscription Agreement and in the Agency Agreement in entering into this Subscription Agreement.
8. Conditions
of Closing. The obligations of the Purchaser to complete the purchase of the Units as contemplated hereby shall be conditional
upon:
| (a) | the
fulfilment
at
or
before
the
Closing
Time
of
each
of
the
conditions
of
the
Closing
set
forth
in
the
Agency
Agreement
except
those
conditions
that
are
waived
by
the
Lead
Agent,
on
behalf
of
the
Agents;
and |
| (b) | at
the
Closing
Date,
the
Purchased
Securities
(and
the
Warrant
Shares
underlying
the
Purchased
Securities)
being
freely
tradable
under
applicable
Securities
Laws
no
later
than
four
months
and
one
day
from
the
Closing
Date
under
National
Instrument
45-102
Resale
of
Securities
and
six
months
for
resales
in
the
United
States. |
The
Purchaser acknowledges and agrees that as the sale of the Purchased Securities will not be qualified by a prospectus, such sale
is subject to the condition that the Purchaser (or, if applicable, any others for whom the Purchaser is contracting hereunder)
sign and return to the Company, the Agents or the U.S. Affiliates all relevant documentation required by applicable securities
laws and the rules, regulations and policies of the Stock Exchange. The Purchaser acknowledges and agrees that the Company may
be required to provide to the applicable securities regulatory authorities and to the Stock Exchange a list setting forth the
identities of the beneficial purchasers of the Purchased Securities. Notwithstanding that the Purchaser may be purchasing Units
as an agent on behalf of an undisclosed principal, the Purchaser agrees to provide, on request and only if required by law, particulars
as to the identity of such undisclosed principal as may be required by the Agents, the U.S. Affiliates or the Company in order
to comply with the foregoing. In addition, the Purchaser acknowledges that none of the Purchased Securities will be or have been
registered under the U.S. Securities Act or applicable state securities laws.
9. Acceptance
or Rejection. The Company will have the right to accept or reject this offer in whole or in part at any time at or prior to
the Closing Time. The Purchaser acknowledges and agrees that the acceptance of this offer will be conditional upon the sale of
the Purchased Securities to the Purchaser being exempt from any registration, prospectus or offering memorandum requirements of
all applicable Securities Laws and the equivalent provisions of securities laws of any other applicable jurisdiction. The Company
will be deemed to have accepted this offer upon the Company’s execution of the acceptance form at the end of this Subscription
Agreement and the delivery at the Closing of the certificates representing the Purchased Securities to or upon the direction of
the Lead Agent in accordance with the provisions hereof.
10. Purchaser’s
Representations and Warranties. The Purchaser (on its own behalf and, if applicable, on behalf of each person on whose behalf
the Purchaser is contracting) represents and warrants to the Company, the Agents and the U.S. Affiliates (and acknowledges that
the Company, the Agents and the U.S. Affiliates are relying thereon), as representations and warranties that are true as of the
date of this offer and will be true as of the Closing Date, that:
| (a) | Authorization
and
Effectiveness.
If
the
Purchaser
is
a
corporation,
the
Purchaser
is
a
valid
and
subsisting
corporation,
has
the
necessary
corporate
capacity
and
authority
to
execute
and
deliver
this
offer
and
to
observe
and
perform
its
covenants
and
obligations
hereunder
and
has
taken
all
necessary
corporate
action
in
respect
thereof,
or,
if
the
Purchaser
is
an
individual,
partnership,
syndicate
or
other
form
of
unincorporated
organization,
the
Purchaser
has
the
necessary
legal
capacity
and
authority
to
execute
and
deliver
this
offer
and
to
observe
and
perform
its
covenants
and
obligations
hereunder
and
has
obtained
all
necessary
approvals
in
respect
thereof,
and,
in
either
case,
upon
acceptance
by
the
Company,
this
offer
will
constitute
a
legal,
valid
and
binding
contract
of
the
Purchaser
enforceable
against
the
Purchaser
in
accordance
with
its
terms
and
will
not
result
in
a
violation
of
any
of
the
Purchaser’s
constating
documents
or
any
agreement
to
which
the
Purchaser
is
a
party
or
by
which
it
is
bound; |
| (b) | Residence.
The
Purchaser
is
a
resident
of
the
jurisdiction
referred
to
under
“Name
and
Address
of
Purchaser”
set
out
on
the
face
page
hereof
and,
unless
the
Purchaser
is
a
U.S.
Purchaser
that
has
made
the
representations,
warranties
and
covenants
set
forth
in
subparagraph
(m)
and
executed
and
delivered
the
U.S.
Accredited
Investor
Status
Certificate
attached
hereto
as
Schedule
C:
(i)
is
not
located
in
the
United
States
nor
is
it
purchasing
the
Purchased
Securities
for
the
account
or
benefit
of
a
person
in
the
United
States;
(ii)
is
not
a
U.S.
Person
nor
is
it
purchasing
the
Purchased
Securities
for
the
account
or
benefit
of
a
U.S.
Person;
(iii)
did
not
initiate
its
buy
order
in
the
United
States
and
was
not
offered
the
Units
in
the
United
States;
and
(iv)
did
not
execute
or
deliver
this
Subscription
Agreement
in
the
United
States; |
| (c) | Purchasing
as
Principal.
Except
to
the
extent
contemplated
herein,
the
Purchaser
is
purchasing
the
Purchased
Securities
as
principal
(as
defined
in
all
applicable
Securities
Laws)
for
its
own
account,
and
not
for
the
benefit
of
any
other
person; |
| (d) | Purchasing
for
Investment
Only.
Except
to
the
extent
contemplated
herein,
the
Purchaser
is
purchasing
the
Purchased
Securities
for
investment
only
and
not
with
a
view
to
resale
or
distribution.
The
Purchaser
is
aware
that
no
prospectus
or
registration
statement
has
been
filed
with
the
Securities
Commissions
in
connection
with
the
sale
of
the
Purchased
Securities,
and
it
is
purchasing
the
Purchased
Securities
pursuant
to
an
exemption
from
the
prospectus
and
registration
requirements
under
applicable
Securities
Laws
and,
as
a
consequence:
(i) it
is
restricted
from
using
most
of
the
civil
remedies
available
under
Securities
Laws
in
Canada;
(ii) it
may
not
receive
information
that
would
otherwise
be
required
to
be
provided
to
it
under
Securities
Laws;
and
(iii) the
Company
is
relieved
of
certain
obligations
that
would
otherwise
apply
under
Securities
Laws; |
| (e) | Purchasing
as
Agent
or
Trustee.
In
the
case
of
the
purchase
by
the
Purchaser
of
the
Purchased
Securities
as
agent
or
trustee
for
any
principal
whose
identity
is
disclosed
or
undisclosed
or
identified
by
account
number
only,
each
beneficial
purchaser
of
the
Purchased
Securities
for
whom
the
Purchaser
is
acting,
is
purchasing
its
Purchased
Securities
as
principal
for
its
own
account,
and
not
for
the
benefit
of
any
other
person,
for
investment
only
and
not
with
a
view
to
resale
or
distribution,
and
the
beneficial
purchaser
is
properly
described
in
subparagraph
(f)(i),
(ii),
(iii),
(iv)
or
(v)
below,
and
the
Purchaser
has
due
and
proper
authority
to
act
as
agent
or
trustee
for
and
on
behalf
of
such
beneficial
purchaser
in
connection
with
the
transactions
contemplated
hereby
and
this
Subscription
Agreement
has
been
duly
authorized,
executed
and
delivered
by
or
on
behalf
of,
and
constitutes
a
legal,
valid
and
binding
agreement
of
such
beneficial
purchaser; |
| (f) | Purchaser
Has
Benefit
of
Statutory
Exemptions.
Unless
it
satisfies
the
requirements
under
subparagraph
10(e),
the
Purchaser
is
(or
is
deemed
to
be)
purchasing
the
Purchased
Securities
as
principal
for
its
own
account,
not
for
the
benefit
of
any
other
person,
for
investment
only
and
not
with
a
view
to
the
resale
or
distribution
of
all
or
any
of
the
Purchased
Securities,
it
is
resident
in
or
otherwise
subject
to
applicable
securities
laws
of
the
jurisdiction
set
under
“Name
and
Address
of
Purchaser”
on
the
face
page
hereof
and
it
fully
complies
with
one
or
more
of
the
criteria
set
forth
below: |
| (i) | it
is
resident
in
or
otherwise
subject
to
applicable
securities
laws
of
Canada
and
it
is
an
“accredited
investor”,
as
such
term
is
defined
in
National
Instrument
45-106 - Prospectus
and
Registration
Exemptions
of
the
Canadian
Securities
Administrators
adopted
under
the
securities
legislation
of
the
Canadian
jurisdictions
(“NI 45-106”),
it
was
not
created
or
used
solely
to
purchase
or
hold
securities
as
an
accredited
investor
as
described
in
paragraph
(m)
of
the
definition
of
“accredited
investor”
in
NI
45-106,
and
it
has
concurrently
executed
and
delivered
a
Canadian
Accredited
Investor
Status
Certificate
in
the
form
attached
as
Schedule
B
to
this
Subscription
Agreement
and
has
initialled
or
placed
a
check
xxxx
in
Appendix
A
to
Schedule
B
thereto
indicating
that
the
Purchaser
satisfies
one
of
the
categories
of
“accredited
investor”
set
forth
in
such
definition;
or |
| (ii) | it
is
resident
in
or
otherwise
subject
to
applicable
securities
laws
of
Canada
and
it
has
an
aggregate
acquisition
cost
for
the
Purchased
Securities
of
not
less
than
$150,000
paid
in
cash
at
the
time
of
the
trade
and
it
was
not
created
or
used
solely
to
purchase
or
hold
securities
in
reliance
on
this
exemption
from
the
registration
and
prospectus
requirements
of
applicable
securities
laws;
or |
| (iii) | it
is
a
U.S.
Purchaser
or
otherwise
subject
to
applicable
securities
laws
of
the
United
States
and
it
is
an
“accredited
investor”,
as
such
term
is
defined
in
Rule
501(a)
of
Regulation
D,
and
it
has
concurrently
executed
and
delivered
a
U.S.
Accredited
Investor
Status
Certificate
in
the
form
attached
as
Schedule
C
to
this
Subscription
Agreement
and
has
initialled
or
placed
a
check
xxxx
next
to
one
of
the
categories
of
“accredited
investor”
set
forth
in
Schedule
C
indicating
that
the
Purchaser
satisfies
one
of
the
categories
of
“accredited
investor”
set
forth
in
such
definition;
or |
| (iv) | has
status
as
an
exempt
purchaser
or
the
equivalent
under
the
securities
legislation
applicable
to
it,
which
status
has
the
effect
of
eliminating
any
requirement
for
a
prospectus
in
respect
of
the
purchase
of
Units
by
the
Purchaser,
particulars
of
which
will
be
provided
to
the
Agents
and
the
Company;
or |
| (v) | is
purchasing
pursuant
to
a
statutory
exemption
or
an
exemption
order
permitting
such
purchase,
which
exemption
or
order
has
the
effect
of
eliminating
any
requirement
for
a
prospectus
or
similar
disclosure
document
in
respect
of
the
purchase
of
Units
by
the
Purchaser,
particulars
of
which
will
be
provided
to
the
Agents
and
the
Company; |
| (g) | Company
or
Unincorporated
Organization.
If
the
Purchaser,
or
any
beneficial
purchaser
referred
to
in
subparagraph (e)
above,
is
a
corporation
or
a
partnership,
syndicate,
trust
or
other
form
of
unincorporated
organization,
the
Purchaser
or
such
beneficial
purchaser
was
not
incorporated
or
created
solely,
nor
is
it
being
used
primarily,
to
permit
purchases
without
a
prospectus
under
applicable
law; |
| (h) | Absence
of
Offering
Memorandum.
The
offering
and
sale
of
the
Purchased
Securities
to
the
Purchaser
were
not
made
through
an
advertisement
of
the
Units
in
printed
media
of
general
and
regular
paid
circulation,
radio
or
television
or
telecommunications,
including
electronic
display
or
any
other
form
of
advertisement
and,
except
for
this
Subscription
Agreement,
the
only
documents,
if
any,
delivered
or
otherwise
furnished
to
the
Purchaser
in
connection
with
such
offering
and
sale
were
a
term
sheet,
copies
of
news
releases
issued
by
the
Company
and
the
Public
Record,
which
documents
the
Purchaser
acknowledges
do
not,
individually
or
collectively,
constitute
an
offering
memorandum
or
similar
document
and
have
not
been
independently
verified
by
the
Agents
or
the
U.S.
Affiliates; |
| (i) | Access
to
Information.
The
Purchaser
acknowledges
that
it
has
had
the
opportunity
to
access
and
review
the
Company’s
Public
Record
on
SEDAR
at
xxx.xxxxx.xxx
and
XXXXX
at
xxx.xxx.xxx/xxxxx.xxx;
that
it
has
been
offered
the
opportunity
to
ask
questions
and
receive
answers
from
management
concerning
the
Company,
the
Purchased
Securities
and
the
terms
and
conditions
of
this
Offering,
and
that
any
request
for
such
information
has
been
complied
with
to
the
Purchaser’s
satisfaction;
and
that
it
has
had
the
opportunity
to
consult
with
its
legal
and
tax
advisors
with
regard
thereto; |
| (j) | No
Undisclosed
Information.
The
Purchased
Securities
are
not
being
purchased
by
the
Purchaser
as
a
result
of
any
material
information
concerning
the
Company
that
has
not
been
publicly
disclosed
and
the
Purchaser’s
decision
to
tender
this
offer
and
acquire
the
Purchased
Securities
has
not
been
made
as
a
result
of
any
oral
or
written
representation
as
to
fact
or
otherwise
made
by
or
on
behalf
of
the
Company,
the
Agents,
the
U.S.
Affiliates
or
any
other
person
and
is
based
entirely
upon
currently
available
public
information
concerning
the
Company
and
this
Subscription
Agreement; |
| (k) | Investment
Suitability.
The
Purchaser,
and
any
beneficial
purchaser
referred
to
in
subparagraph (e)
above,
has
such
knowledge
and
experience
in
financial
and
business
affairs
as
to
be
capable
of
evaluating
the
merits
and
risks
of
the
investment
hereunder
in
the
Purchased
Securities
and
is
able
to
bear
the
economic
risk
of
loss
of
such
investment; |
| (l) | Purchasers
in
Jurisdictions
other
than
Canada.
If
the
Purchaser,
or
any
beneficial
person
for
whom
the
Purchaser
is
acting,
is
a
resident
of
or
otherwise
subject
to
the
securities
legislation
of
a
jurisdiction
other
than
Canada: |
| (i) | the
purchase
of
the
Purchased
Securities
by
such
Purchaser
does
not
contravene
the
applicable
securities
legislation
in
the
jurisdiction
in
which
it
is
resident
or
to
which
it
is
subject
and
does
not
trigger
any
obligation
to
prepare
and
file
a
prospectus,
registration
statement
or
similar
document,
or
any
other
report
with
respect
to
such
purchase,
or
any
registration
or
other
obligation
on
the
part
of
the
Company;
and |
| (ii) | the
Purchaser
certifies
that
it
is
not
resident
in
British
Columbia
and
acknowledges
that
(a)
no
Securities
Commission
or
similar
regulatory
authority
has
reviewed
or
passed
on
the
merits
of
the
Securities;
(b)
there
is
no
government
or
other
insurance
covering
the
Securities;
(c)
there
are
risks
associated
with
the
purchase
of
the
Securities;
(d)
there
are
restrictions
on
the
Purchaser’s
ability
to
resell
the
Securities
and
it
is
the
responsibility
of
the
Purchaser
to
find
out
what
those
restrictions
are
and
to
comply
with
them
before
selling
the
Securities;
and
(e)
the
Company
has
advised
the
Purchaser
that
the
Company
is
relying
on
an
exemption
from
the
requirements
to
provide
the
Purchaser
with
a
prospectus
and
to
sell
the
Securities
through
a
person
registered
to
sell
securities
under
the
Securities
Act
(British
Columbia)
and,
as
a
consequence
of
acquiring
securities
pursuant
to
this
exemption,
certain
protections,
rights
and
remedies
provided
by
the
Securities
Act
(British
Columbia),
including
statutory
rights
of
rescission
or
damages,
will
not
be
available
to
the
Purchaser; |
| (m) | U.S.
Purchaser.
In
addition
to,
and
without
limiting
the
generality
of,
subparagraph
(l),
if
the
Purchaser,
or
any
beneficial
person
for
whom
the
Purchaser
is
acting,
is
a
U.S.
Purchaser: |
| (i) | it
understands
and
acknowledges
that
the
Securities
have
not
been
and
will
not
be
registered
under
the
U.S.
Securities
Act,
or
any
applicable
state
securities
laws,
and
that
the
sale
of
the
Units
contemplated
hereby
is
being
made
to
“accredited
investors”
as
defined
in
Rule
501(a)
of
Regulation
D
under
the
U.S.
Securities
Act
(in
this
paragraph
(m)
“U.S.
Accredited
Investors”)
in
reliance
on
a
private
placement
exemption
under
Section
4(a)(2)
of
the
U.S.
Securities
Act
and
Rule
506(b)
of
Regulation
D
thereunder
and
similar
exemptions
under
applicable
state
securities
laws.
Accordingly,
the
Securities
will
be
“restricted
securities”
within
the
meaning
of
Rule
144
(“Rule
144”)
under
the
U.S.
Securities
Act,
and
therefore
may
not
be
offered
or
sold
by
it
in
the
United
States
without
registration
under
the
U.S.
Securities
Act
and
applicable
state
securities
laws
or
pursuant
to
an
exemption
or
exclusion
from
such
registration
requirements.
If
in
the
future
it
shall
decide
to
offer,
resell,
pledge
or
otherwise
transfer
any
of
the
Securities,
it
will
not
offer,
resell,
pledge
or
otherwise
transfer
the
Securities,
directly
or
indirectly,
except:
(A)
to
the
Company,
(B)
outside
the
United
States
in
accordance
with
Rule
904
of
Regulation
S
under
the
U.S.
Securities
Act
and
in
compliance
with
applicable
local
laws
and
regulations,
(C)
(i)
in
accordance
with
Rule
144A
under
the
U.S.
Securities
Act
(“Rule
144A”)
to
a
person
it
reasonably
believes
is
a
qualified
institutional
buyer
as
defined
in
Rule
144A
(“Qualified
Institutional
Buyer”)
that
purchases
for
its
own
account
or
for
the
account
of
a
Qualified
Institutional
Buyer
and
to
whom
notice
is
given
that
the
offer,
sale
or
transfer
is
being
made
in
reliance
on
Rule
144A,
if
available,
or
(ii)
in
accordance
with
Rule
144
under
the
U.S.
Securities
Act,
if
available,
or
(D)
pursuant
to
another
exemption
from
registration
under
the
U.S.
Securities
Act
and,
in
each
case,
in
accordance
with
any
applicable
state
securities
laws
of
the
United
States
and
after,
in
the
case
of
transfers
under
clauses
(C)(ii)
or
(D)
(or,
if
required
by
the
Company’s
transfer
agent,
clause
(B)),
it
has
furnished
to
the
Company
(and,
if
applicable,
the
Company’s
transfer
agent)
an
opinion
of
counsel
of
recognized
standing
or
other
evidence
reasonably
satisfactory
to
the
Company
(and,
if
applicable,
the
Company’s
transfer
agent)
to
the
effect
that
the
proposed
transfer
may
be
made
without
registration
under
the
U.S.
Securities
Act
and
any
applicable
state
securities
laws;
and |
| (ii) | it
understands
that
upon
the
original
issuance
thereof,
and
until
such
time
as
the
same
is
no
longer
required
under
applicable
requirements
of
the
U.S.
Securities
Act
or
applicable
state
securities
laws,
the
certificates
representing
the
Common
Shares,
the
Warrants
and,
if
applicable,
the
Warrant
Shares,
and
all
certificates
issued
in
exchange
therefor
or
in
substitution
thereof,
shall
bear
on
the
face
of
such
certificates
the
following
legend
(or
if
the
face
of
the
certificate
has
insufficient
space,
on
the
back
of
the
certificate
with
a
reference
on
the
face
of
the
certificate
to
the
legend),
in
addition
to
any
other
legend
that
may
be
required
under
applicable
securities
laws: |
| | “THE
SECURITIES
REPRESENTED
HEREBY
HAVE
NOT
BEEN
REGISTERED
UNDER
THE
UNITED
STATES
SECURITIES
ACT
OF
1933,
AS
AMENDED
(THE
“U.S.
SECURITIES
ACT”),
OR
UNDER
ANY
STATE
SECURITIES
LAWS.
THE
HOLDER
HEREOF,
BY
PURCHASING
SUCH
SECURITIES,
AGREES
FOR
THE
BENEFIT
OF
GOLD
STANDARD
VENTURES
CORP.
(THE
“COMPANY”)
THAT
SUCH
SECURITIES
MAY
BE
OFFERED,
SOLD,
PLEDGED
OR
OTHERWISE
TRANSFERRED
ONLY
(A)
TO
THE
COMPANY,
(B)
OUTSIDE
THE
UNITED
STATES
IN
ACCORDANCE
WITH
RULE
904
OF
REGULATION
S
UNDER
THE
U.S.
SECURITIES
ACT
AND
IN
COMPLIANCE
WITH
APPLICABLE
LOCAL
LAWS
AND
REGULATIONS,
(C)
IN
ACCORDANCE
WITH
(I)
RULE
144A
UNDER
THE
U.S.
SECURITIES
ACT,
IF
AVAILABLE,
OR
(II)
RULE
144
UNDER
THE
U.S.
SECURITIES
ACT,
IF
AVAILABLE,
OR
(D)
PURSUANT
TO
ANOTHER
EXEMPTION
OR
EXCLUSION
FROM
REGISTRATION
UNDER
THE
U.S.
SECURITIES
ACT
AND,
IN
EACH
CASE,
IN
COMPLIANCE
WITH
ANY
APPLICABLE
STATE
SECURITIES
LAWS
OF
THE
UNITED
STATES
AFTER,
IN
THE
CASE
OF
TRANSFERS
UNDER
CLAUSES
(C)(II)
OR
(D)
(OR,
IF
REQUIRED
BY
THE
COMPANY’S
TRANSFER
AGENT,
CLAUSE
(B))
THE
HOLDER
HAS
FURNISHED
TO
THE
COMPANY
(AND,
IF
APPLICABLE,
THE
COMPANY’S
TRANSFER
AGENT)
AN
OPINION
OF
COUNSEL
OF
RECOGNIZED
STANDING
OR
OTHER
EVIDENCE
IN
FORM
AND
SUBSTANCE
REASONABLY
SATISFACTORY
TO
THE
COMPANY
(AND,
IF
APPLICABLE,
THE
COMPANY’S
TRANSFER
AGENT)
TO
SUCH
EFFECT.” |
| | provided,
that,
if
the
Common
Shares,
Warrants
or
Warrant
Shares,
as
the
case
may
be,
are
being
sold
in
compliance
with
the
requirements
of
Rule
904
of
Regulation
S,
and
provided
that
the
Company
is
a
“foreign
issuer”
within
the
meaning
of
Regulation
S
at
the
time
of
sale,
the
above
legend
may
be
removed
by
providing
a
declaration
(and
such
other
evidence
as
may
be
required
by
the
Company’s
transfer
agent,
which
may
include
an
opinion
of
counsel
of
recognized
standing
reasonably
satisfactory
to
the
Company
and
its
transfer
agent)
to
the
Company
and
its
transfer
agent
substantially
in
the
form
set
forth
in
Exhibit
1
hereto
or
as
the
Company
may
prescribe
from
time
to
time);
and |
| (iii) | it
understands
and
acknowledges
that
any
certificate
representing
the
Common
Shares,
the
Warrants
and,
if
applicable,
the
Warrant
Shares
will
also
bear
a
legend
that
the
Common
Shares,
Warrants
or
Warrant
Shares,
as
the
case
may
be,
cannot
be
traded
through
the
facilities
of
stock
exchanges
in
Canada
because
the
certificate
is
not
freely
transferable
and
consequently
is
not
“good
delivery”
in
transactions
on
such
stock
exchanges
and
acknowledges
that
such
stock
exchanges
would
deem
the
selling
security
holder
to
be
responsible
for
any
loss
incurred
on
a
sale
made
by
such
security
holder
in
such
Common
Shares,
Warrants
or
Warrant
Shares,
as
the
case
may
be;
and |
| (iv) | it
is
an
U.S.
Accredited
Investor
as
set
forth
in
Schedule
C
hereto
and
it
is
acquiring
the
Units
as
principal
for
its
own
account,
or
for
the
account
of
another
U.S.
Accredited
Investor
as
to
which
it
exercises
sole
investment
discretion,
and
not
with
a
view
to
any
resale
or
other
disposition
of
the
Securities
in
violation
of
the
U.S.
Securities
Act
or
applicable
state
securities
laws;
and |
| (v) | it
has
concurrently
duly
completed,
executed,
and
delivered
Schedule
C
hereto
with
this
Subscription
Agreement,
which
Schedule
C
is
incorporated
into
and
forms
a
part
of
this
Subscription
Agreement;
and |
| (vi) | it
understands
and
acknowledges
that
the
Company
has
the
right
to
instruct
the
applicable
transfer
agent
for
the
Securities
not
to
record
a
transfer
by
any
person
without
first
being
notified
by
the
Company
that
it
is
satisfied
that
such
transfer
is
exempt
from
or
not
subject
to
registration
under
the
U.S.
Securities
Act
and
any
applicable
state
securities
laws;
and |
| (vii) | it understands and acknowledges that
the Company (A) is not obligated to remain a “foreign issuer” within the meaning of Regulation S, (B) may not, at
the time it sells any of the Securities, or at any other time, be a “foreign issuer” and (C) may engage in one or
more transactions that could cause the Company not to be a “foreign issuer.” If the Company is not a “foreign
issuer” at the time of any sale pursuant to Rule 904 of Regulation S, the certificate delivered to the Purchaser may continue
to bear the legend contained in subparagraph (m)(ii) above; and |
| (viii) | it
acknowledges
that
it
has
not
purchased
the
Units
as
a
result
of
any
“general
solicitation”
or
“general
advertising”,
as
such
terms
are
used
in
Regulation
D
under
the
U.S.
Securities
Act,
including,
without
limitation,
advertisements,
articles,
notices
or
other
communications
published
in
any
newspaper,
magazine
or
similar
media
or
on
the
Internet
or
broadcast
over
radio,
television
or
the
Internet,
or
any
seminar
or
meeting
whose
attendees
have
been
invited
by
general
solicitation
or
general
advertising;
and |
| (ix) | it
has
received,
for
informational
purposes
only,
a
copy
of
this
Subscription
Agreement
relating
to
the
Offering
in
the
United
States
of
the
Units,
and
has
had
the
opportunity
to
ask
questions
and
receive
answers
about
the
Offering
and
has
had
access
to
such
additional
information,
if
any,
concerning
the
Company
as
it
has
considered
necessary
in
connection
with
its
investment
decision
to
invest
in
the
Units;
and |
| (x) | it
understands
and
acknowledges
that
the
Company
has
no
present
intention
of
filing
with
the
SEC
or
with
any
state
securities
administrator
any
registration
statement
in
respect
of
resales
of
the
Securities;
and |
| (xi) | it
understands
and
agrees
that
there
may
be
material
tax
consequences
to
the
Purchaser
of
an
acquisition
or
disposition
of
the
Securities;
the
Company
does
not
give
any
opinion
or
make
any
representation
with
respect
to
the
tax
consequences
to
the
Purchaser
under
United
States,
state,
local
or
foreign
tax
law
of
the
Purchaser’s
acquisition
or
disposition
of
such
Securities;
provided,
however,
it
understands
and
acknowledges
that
it
is
aware
of
the
obligation
on
the
part
of
the
Company,
pursuant
to
the
terms
of
the
Agency
Agreement,
to
provide
to
the
Purchaser,
upon
written
request,
all
of
the
information
that
would
be
required
for
United
States
income
tax
reporting
purposes
by
a
United
States
security
holder
making
an
election
to
treat
the
Company
as
a
“qualified
electing
fund”
for
the
purposes
of
the
United
States
Internal
Revenue
Code
of
1986,
as
amended
(the
“Code”),
should
the
Company
or
the
Purchaser
determine
that
the
Company
is
a
“passive
foreign
investment
company,”
with
the
meaning
of
Section
1297
of
the
Code,
in
any
calendar
year
following
the
purchase
of
the
Units
by
such
Purchaser;
and |
| (xii) | it
understands
and
agrees
that
the
financial
statements
of
the
Company
have
been
prepared
in
accordance
with
Canadian
generally
accepted
accounting
principles
and
International
Financial
Report
Standards,
which
differ
in
some
respects
from
United
States
generally
accepted
accounting
principles,
and
thus
may
not
be
comparable
to
financial
statements
of
United
States
companies;
and |
| (xiii) | it
understands
that
the
Units
have
not
been
recommended
by
any
federal
or
state
securities
commission
or
regulatory
authority;
furthermore,
the
foregoing
authorities
have
not
confirmed
the
accuracy
or
determined
the
adequacy
of
the
information
in
the
Subscription
Agreement
or
the
Schedules
attached
hereto,
and
any
representation
to
the
contrary
is
a
criminal
offense;
and |
| (xiv) | it
is
aware
that
its
ability
to
enforce
civil
liabilities
under
the
United
States
federal
securities
laws
may
be
affected
adversely
by,
among
other
things,
the
fact
that:
(i)
the
Company
is
organized
under
the
laws
of
British
Columbia,
Canada;
(ii)
some
or
all
of
the
directors
and
officers
of
the
Company
may
be
residents
of
countries
other
than
the
United
States;
and
(iii)
all
or
a
substantial
portion
of
the
assets
of
the
Company
and
said
persons
may
be
located
outside
the
United
States;
and |
| (xv) | it
understands
and
acknowledges
that
the
Company
and
its
transfer
agent
may
have
obligations
to
report
tax
cost
basis
information
to
the
United
States
Internal
Revenue
Services
in
connection
with
the
purchase
and/or
sale
of
Securities. |
| (n) | Source
of
Subscription
Funds. |
| (i) | to
the
best
of
the
Purchaser’s
knowledge,
none
of
the
subscription
funds
used
for
the
purchase
of
the
Purchased
Securities
and
being
advanced
to
the
Company,
the
Agents
or
the
U.S.
Affiliates
hereunder
(the
“Subscription
Funds”)
(A)
will
represent
proceeds
of
crime
for
the
purposes
of
the
Proceeds
of
Crime
(Money
Laundering)
and
Terrorist
Financing
Act
(Canada)
or
for
the
purpose
of
the
United
States
Uniting
and
Strengthening
America
by
Providing
Appropriate
Tools
Required
to
Intercept
and
Obstruct
Terrorism
Act
(the
“Patriot
Act”),
(B)
have
been
or
will
be
derived
from
or
related
to
any
activity
that
is
deemed
criminal
under
the
laws
of
Canada,
the
United
States
or
any
other
jurisdiction,
or
(C)
are
being
tendered
on
behalf
of
a
person
or
entity
who
has
not
been
identified
to
the
Purchaser,
and |
| (ii) | the
Purchaser
shall
promptly
notify
the
Company,
the
Agents
and
the
U.S.
Affiliates
if
the
Purchaser
discovers
that
any
of
the
representations
in
paragraph
(i)
above
ceases
to
be
true,
and
to
provide
the
Company,
the
Agents
and
the
U.S.
Affiliates
with
appropriate
information
in
connection
therewith; |
| (o) | No
Assurance
of
Additional
Financing.
The
Purchaser
acknowledges
that
the
Company
may
need
to
complete
additional
financings
in
the
future
in
order
to
develop
the
business
of
the
Company
and
to
fund
its
ongoing
development;
that
there
is
no
assurance
that
such
financings
will
be
available
and,
if
available,
on
reasonable
terms;
any
such
future
financings
may
have
a
dilutive
effect
on
current
securityholders,
including
the
Purchaser;
that
if
such
future
financings
are
not
available,
the
Company
may
be
unable
to
fund
its
ongoing
development; |
| (p) | Not
a
Control
Person.
The
acquisition
of
the
Units
hereunder
by
the
Purchaser
will
not
result
in
the
Purchaser
becoming
a
“control
person”,
as
defined
under
applicable
Securities
Laws; |
| (q) | No
Knowledge
of
Material
Fact
or
Change.
The
Purchaser
has
no
knowledge
of
a
“material
fact”
or
a
“material
change”
(as
those
terms
are
defined
in
the
Securities
Act
(British
Columbia)
and
which
generally
means
a
fact
or
change
which
would
reasonably
be
expected
to
have
a
significant
effect
on
the
market
price
of
the
Company’s
Shares)
in
the
affairs
of
the
Company
that
has
not
been
generally
disclosed; |
| (r) | No
Violation.
The
entering
into
of
this
Subscription
Agreement
and
the
completion
of
the
transactions
contemplated
hereby
do
not
and
will
not
result
in
a
violation
of
any
of
the
terms
or
provisions
of
any
law
applicable
to
the
Purchaser
or
any
agreement
to
which
the
Purchaser
is
a
party
or
by
which
it
is
bound;
and |
| (s) | Absence
of
Certain
Representations.
No
person
has
made
to
the
Purchaser
any
written
or
oral
representation: |
| (i) | that
any
person
will
resell
or
repurchase
any
of
the
Purchased
Securities; |
| (ii) | that
any
person
will
refund
the
purchase
price
of
any
of
the
Purchased
Securities;
or |
| (iii) | as
to
the
future
price
or
value
of
the
Purchased
Securities; and |
| (iv) | the
Purchaser’s
decision
to
subscribe
for
the
Purchased
Securities
was
based
solely
on
this
Subscription
Agreement,
the
Agency
Agreement
and
publicly
available
information
about
the
Company. |
The Purchaser
acknowledges and agrees that the foregoing representations and warranties are made by it with the intention that they may be relied
upon in determining its eligibility or (if applicable) the eligibility of others on whose behalf it is contracting hereunder to
purchase the Purchased Securities under relevant securities legislation. The Purchaser further agrees that by accepting delivery
of the Purchased Securities on the Closing Date, it shall be representing and warranting that the foregoing representations and
warranties are true and correct as at the Closing Date with the same force and effect as if they had been made by the Purchaser
at the time of the Closing and that they shall survive the purchase by the Purchaser of the Purchased Securities and shall continue
in full force and effect notwithstanding any subsequent disposition by the Purchaser of the Purchased Securities. The Purchaser
undertakes to notify the Company immediately of any change in any representation, warranty or other information relating to the
Purchaser set forth herein which takes place prior to the Closing Time.
11. No
Investigation by Agent. The Purchaser acknowledges and agrees that the Agents and the U.S. Affiliates assume no responsibility
or liability of any nature whatsoever for the accuracy or adequacy of any publicly available information concerning the Company
or as to whether all information concerning the Company required to be disclosed by the Company has been generally disclosed.
12. Fee
to the Agent. The Purchaser understands that, in connection with the issue and sale of the Units, the Agents and the U.S.
Affiliates will receive from the Company, at Closing, a cash fee in the aggregate amount equal to 6.0% of the gross proceeds received
by the Company from the sale of the Units as contemplated in the Agency Agreement.
13. Purchaser’s
Expenses. The Purchaser acknowledges and agrees that except as otherwise provided herein or in the Agency Agreement, all costs
and expenses incurred by the Purchaser (including any fees and disbursements of special counsel retained by the Purchaser) relating
to the purchase of the Units shall be borne by the Purchaser.
14. Resale
Restrictions. The Purchaser understands and acknowledges that the Securities will be subject to certain resale restrictions
under applicable Securities Laws and the Purchaser agrees to comply with such restrictions. The Purchaser also acknowledges that
it has been advised to consult its own legal advisors with respect to applicable resale restrictions and that it is solely responsible
(and none of the Company, the Agents or the U.S. Affiliates are in any manner responsible) for complying with such restrictions.
For
purposes of complying with applicable Securities Laws and National Instrument 45-102 Resale of Securities, the Purchaser
understands and acknowledges that all certificates or ownership statements issued under a direct registration system or other
electronic book-entry system representing the Common Shares and Warrants (and Warrant Shares if issued
prior to the date that is four months and one day after the Closing Date), as well as all certificates issued in exchange
for or in substitution of the foregoing securities, shall bear the following legends:
“UNLESS
PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE ●, 2014.”
and,
only if the Purchaser is either: (i) a director, officer or Promoter (as defined under Policy 1.1 of the corporate finance manual
of the TSXV) of the Company; or (ii) a Person (as defined under Policy 1.1. of the corporate finance manual of the TSXV) that
will hold securities carrying more than 10% of the voting rights attached to the Company’s securities both immediately before
and after the transaction in which securities are issued, and who have elected or appointed or have the right to elect or appoint
one or more directors or senior officers of the Company:
“WITHOUT
PRIOR WRITTEN APPROVAL OF THE TSX VENTURE EXCHANGE AND COMPLIANCE WITH ALL APPLICABLE SECURITIES LEGISLATION, THE SECURITIES REPRESENTED
BY THIS CERTIFICATE MAY NOT BE SOLD, TRANSFERRED, HYPOTHECATED OR OTHERWISE TRADED ON OR THROUGH THE FACILITIES OF THE TSX VENTURE
EXCHANGE OR OTHERWISE IN CANADA OR TO OR FOR THE BENEFIT OF A CANADIAN RESIDENT UNTIL ●, 2014.”;
in
each case with the ● completed to reflect a date that is four months plus one
day following the Closing Date.
15. Legal
and Tax Advice. The Purchaser acknowledges and agrees that it is solely responsible for obtaining such legal advice and tax
advice as it considers appropriate in connection with the execution, delivery and performance by it of this Subscription Agreement
and the completion of the transactions contemplated hereby.
16. No
Statutory Right of Rescission or Damages; Additional Acknowledgements. The Purchaser acknowledges and agrees that:
| (a) | no
securities
commission
or
similar
regulatory
authority
has
received
or
passed
on
the
merits
of
the
Purchased
Securities; |
| (b) | there
is
no
government
or
other
insurance
covering
the
Purchased
Securities; |
| (c) | there
are
risks
associated
with
the
purchase
of
the
Purchased
Securities; |
| (d) | as
a
consequence
of
acquiring
the
Purchased
Securities
pursuant
to
exemptions
from
registration
and
prospectus
requirements
under
the
Securities
Laws,
certain
protections,
rights
and
remedies
provided
by
the
Securities
Laws,
including
statutory
rights
of
rescission
or
damages,
will
not
be
available
to
the
Purchaser; |
| (e) | except
as
otherwise
set
forth
herein,
it
has
relied
solely
upon
publicly
available
information
relating
to
the
Company
and
not
relied
upon
any
oral
or
written
representation
as
to
fact
or
otherwise
made
by
or
on
behalf
of
the
Company,
the
Agents
or
the
U.S.
Affiliates
except
as
expressly
set
forth
herein
and
such
publicly
available
information
having
been
delivered
to
the
Purchaser
without
independent
investigation
or
verification
by
the
Agents
or
the
U.S.
Affiliates,
and
agrees
that
the
Agents
and
the
U.S.
Affiliates
and
their
respective
counsel
assume
no
responsibility
or
liability
of
any
nature
whatsoever
for
the
accuracy,
adequacy
or
completeness
of
the
publicly
available
information
and
acknowledges
that
their
counsel
is
acting
as
counsel
to
the
Agents
and
the
U.S.
Affiliates
and
not
as
counsel
to
the
Purchaser;
and |
| (f) | the
Purchaser,
or,
where
the
Purchaser
is
not
purchasing
as
principal,
each
beneficial
purchaser,
has
such
knowledge
in
financial
and
business
affairs
as
to
be
capable
of
evaluating
the
merits
and
risks
of
its
investment
and
is
able
to
bear
the
economic
risk
of
loss
of
its
investment. |
17. No
Revocation. The Purchaser agrees that this offer is made for valuable consideration and may not be withdrawn, cancelled, terminated
or revoked by the Purchaser without the consent of the Company. Further, the Purchaser expressly waives and releases the Company,
the Agents and the U.S. Affiliates from all rights of withdrawal or rescission to which the Purchaser might otherwise be entitled
pursuant to the Securities Laws.
18. Indemnity.
The Purchaser agrees to indemnify and hold harmless the Company, the Agents and the U.S. Affiliates and their respective directors,
officers, affiliates, employees, agents, advisers and shareholders from and against any and all loss, liability, claim, damage
and expense (including, but not limited to, any and all fees, costs and expenses reasonably incurred in investigating, preparing
or defending against any claim, law suit, administrative proceeding or investigation whether commenced or threatened) arising
out of or based upon any representation or warranty of the Purchaser contained herein or in any document furnished by the Purchaser
to the Company, the Agents or the U.S. Affiliates in connection herewith being untrue in any material respect or any breach or
failure by the Purchaser to comply with any covenant or agreement made by the Purchaser herein.
19. Collection
of Personal Information.
| (a) | The
Purchaser
(on
its
own
behalf
and,
if
applicable,
on
behalf
of
any
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder),
acknowledges
and
consents
to
the
fact
that
the
Company
and
the
Agents
are
collecting
the
Purchaser’s
personal
information
(as
that
term
is
defined
under
applicable
privacy
legislation,
including,
without
limitation,
the
Personal
Information
Protection
and
Electronic
Documents
Act
(Canada)
and
any
other
applicable
similar,
replacement
or
supplemental
provincial
or
federal
legislation
or
laws
in
effect
from
time
to
time),
and,
if
applicable,
that
of
each
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder,
for
the
purpose
of
completing
this
Subscription
Agreement.
The
Purchaser
(on
its
own
behalf
and,
if
applicable,
on
behalf
of
any
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder),
acknowledges
and
consents
to
the
Company,
the
Agents
and
the
U.S.
Affiliates
retaining
such
personal
information
for
as
long
as
permitted
or
required
by
law
or
business
practices.
The
Purchaser
(on
its
own
behalf
and,
if
applicable,
on
behalf
of
any
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder),
further
acknowledges
and
consents
to
the
fact
that
the
Company,
the
Agents
or
the
U.S.
Affiliates
may
be
required
by
the
Securities
Laws
of
the
Designated
Jurisdictions,
the
rules
and
policies
of
any
stock
exchange
or
the
rules
of
the
Investment
Industry
Regulatory
Organization
of
Canada
(formerly
the
Investment
Dealers
Association)
to
provide
regulatory
authorities
with
any
personal
information
provided
under
this
Subscription
Agreement.
The
Purchaser
represents
and
warrants,
as
applicable,
that
it
has
the
authority
to
provide
the
consents
and
acknowledgements
set
out
in
this
paragraph
on
behalf
of
each
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder.
In
addition
to
the
foregoing,
the
Purchaser
agrees
and
acknowledges
that
the
Company,
the
Agents
or
the
U.S.
Affiliates,
as
the
case
may
be,
may
use
and
disclose
the
Purchaser’s
personal
information,
or
that
of
each
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder,
as
follows: |
| (i) | for
internal
use
with
respect
to
managing
the
relationships
between
and
contractual
obligations
of
the
Company,
the
Agents,
the
U.S.
Affiliates
and
the
Purchaser
or
any
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder; |
| (ii) | for
use
and
disclosure
for
income
tax
related
purposes,
including
without
limitation,
where
required
by
law,
disclosure
to
Canada
Revenue
Agency; |
| (iii) | for
disclosure
to
securities
regulatory
authorities,
the
Stock
Exchange
and
other
regulatory
bodies
with
jurisdiction
with
respect
to
reports
of
trades
and
similar
regulatory
filings,
such
as
reports
of
exempt
distribution; |
| (iv) | for
disclosure
to
a
governmental
or
other
authority
to
which
the
disclosure
is
required
by
court
order
or
subpoena
compelling
such
disclosure
and
where
there
is
no
reasonable
alternative
to
such
disclosure; |
| (v) | for
disclosure
to
professional
advisers
of
the
Company,
the
Agents
or
the
U.S.
Affiliates
in
connection
with
the
performance
of
their
professional
services; |
| (vi) | for
disclosure
to
any
person
where
such
disclosure
is
necessary
for
legitimate
business
reasons
and
is
made
with
the
Purchaser’s
prior
written
consent; |
| (vii) | for
disclosure
to
a
court
determining
the
rights
of
the
parties
under
this
Subscription
Agreement;
or |
| (viii) | for
use
and
disclosure
as
otherwise
required
or
permitted
by
law. |
| (b) | The
Purchaser
authorizes
the
indirect
collection
of
personal
information
(as
defined
in
the
Securities
Laws
of
the
Province
of
Ontario)
by
the
Ontario
Securities
Commission
and
confirms
that
the
Purchaser
has
been
notified
by
the
Company: |
| (i) | that
the
Company
will
be
delivering
such
personal
information
to
the
Ontario
Securities
Commission; |
| (ii) | that
such
personal
information
is
being
collected
indirectly
by
the
Ontario
Securities
Commission
under
the
authority
granted
to
it
in
the
Securities
Laws
of
the
Province
of
Ontario; |
| (iii) | that
such
personal
information
is
being
collected
for
the
purpose
of
the
administration
and
enforcement
of
the
Securities
Laws
of
the
Province
of
Ontario;
and |
| (iv) | that
the
title,
business
address
and
business
telephone
number
of
the
public
official
in
the
Province
of
Ontario
who
can
answer
questions
about
the
Ontario
Securities
Commission’s
indirect
collection
of
personal
information
is
as
follows: |
Administrative
Support Clerk
Ontario
Securities Commission
Xxxxx
0000, Xxx 00, 00 Xxxxx Xxxxxx Xxxx
Xxxxxxx,
Xxxxxxx X0X 0X0
Telephone:
000-000-0000
Facsimile:
000-000-0000.
| (c) | The
Purchaser
(on
its
own
behalf
and,
if
applicable,
on
behalf
of
any
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder)
also
consents
to:
(i)
the
filing
of
copies
or
originals
of
any
of
the
Purchaser’s
documents
described
herein
including,
but
not
limited
to,
as
may
be
required
to
be
filed
with
any
stock
exchange
or
securities
regulatory
authority
in
connection
with
the
transactions
contemplated
hereby;
and
(ii)
the
filing
by
the
Company
under
NI
45-106
of
Form
45-106F1
with
the
applicable
securities
regulatory
authorities
in
Canada
and
Form
45-106F6
with
the
British
Columbia
Securities
Commission
(the
“BCSC”),
as
applicable,
containing
such
information
regarding
the
Purchaser
and
any
beneficial
purchaser
for
whom
the
Purchaser
is
contracting
hereunder
as
is
prescribed
by
such
forms
(including,
but
not
limited
to,
its
name,
address,
telephone
number,
the
number
and
value
of
Units
purchased,
the
date
of
distribution
and
exemption
relied
upon
and
its
status
as
an
insider
of
the
Company
or
a
registrant),
certain
of
which
information
it
understands
will
be
made
available
to
the
public
by
the
BCSC
including
on
its
website. |
20. Modification.
Subject to the terms hereof, neither this Subscription Agreement nor any provision hereof shall be modified, changed, discharged
or terminated except by an instrument in writing signed by the party against whom any waiver, change, discharge or termination
is sought.
21. Assignment.
The terms and provisions of this Subscription Agreement shall be binding upon and enure to the benefit of the Purchaser, the Company
and their respective heirs, executors, administrators, successors and assigns; provided that this Subscription Agreement shall
not be assignable by any party without the prior written consent of the other party.
22. Miscellaneous.
All representations, warranties, agreements and covenants made or deemed to be made by the Purchaser herein will survive the execution
and delivery, and acceptance, of this offer and the Closing. This Subscription Agreement may be executed in any number of counterparts,
each of which when delivered, either in original, facsimile or .pdf form, shall be deemed to be an original and all of which together
shall constitute one and the same document.
23. Governing
Law and Venue. This Subscription Agreement, any amendment, addendum, exhibit, supplement or other document relating hereto,
and any and all disputes arising herefrom or related hereto, shall be governed by and construed in accordance with the internal
laws of the Province of British Columbia, and the federal laws of Canada applicable therein, governing disputes occurring, and
contracts made and to be performed, wholly therein, and without reference to its principles governing the choice or conflict of
laws. The parties hereto irrevocably attorn and submit to the exclusive jurisdiction of the courts of the Province of British
Columbia, sitting in the City of Vancouver, with respect to any dispute related to or arising from this Subscription Agreement.
24. Facsimile
Subscriptions or Subscription by Other Electronic Means. The Company, the Agents and the U.S. Affiliates shall be entitled
to rely on delivery by facsimile machine or other electronic means of an executed copy of this Subscription Agreement, including
the completed schedules hereto, and acceptance by the Company of such copy shall be legally effective to create a valid and binding
agreement between the Purchaser and the Company in accordance with the terms hereof. If less than a complete copy of this Subscription
Agreement is delivered to the Company at Closing, the Company, the Agents and the U.S. Affiliates and their respective counsel
are entitled to assume that the Purchaser accepts and agrees to all of the terms and conditions of the pages not delivered at
Closing unaltered.
25. Entire
Agreement and Headings. This Subscription Agreement (including the schedules hereto) contains the entire agreement of the
parties hereto relating to the subject matter hereof and there are no representations, covenants or other agreements relating
to the subject matter hereof except as stated or referred to herein. This Subscription Agreement may be amended or modified in
any respect by written instrument only. The headings contained herein are for convenience only and shall not affect the meanings
or interpretation hereof.
26. Language.
The parties hereby confirm their express wish that this Subscription Agreement and all documents relating hereto be drawn
up in English only, but without prejudice to any such documents or instruments which may from time to time be drawn up in French
only or in both English and French. Les parties aux présentes confirment leur volonté que le présent contrat
de même que tous autres documents s’y rapportant soient rédigés en anglais seulement, mais sans préjudice
cependant à tous tels documents qui pourront à l’occasion être rédigés en français
seulement ou à la fois en français et en anglais.
27. Time
of Essence. Time shall be of the essence of this Subscription Agreement.
28. Effective
Date. This Subscription Agreement is intended to and shall take effect on the Closing Date, notwithstanding its actual date
of execution or delivery by any of the parties.
IN
WITNESS WHEREOF the undersigned has executed this Subscription Agreement on the 24 day of February, 2014.
|
|
|
|
|
/s/ Xxx Xxxxxxxx |
Signature of Purchaser (if an individual) |
|
Name of Purchaser (if not an individual) |
|
|
|
|
|
Per: |
/s/ Xxx Xxxxxxxx |
Name of Purchaser (if an individual) |
|
|
Title |
Vice President |
ACCEPTANCE
The
foregoing is acknowledged, accepted and agreed to this 4 day
of March ,
2014.
|
GOLD STANDARD VENTURES CORP. |
|
|
|
|
Per: |
Xxxxxxx Xxxxx, Corporate Secretary |
|
|
Authorized Signatory |
EXHIBIT
1
FORM
OF DECLARATION FOR REMOVAL OF LEGEND
| TO: | Computershare
Trust
Company
of
Canada,
as
registrar
and
transfer
agent
for
the
common
shares
of
GOLD
STANDARD
VENTURES
CORP. |
| AND TO: | GOLD STANDARD VENTURES
CORP. |
The
undersigned (a) acknowledges that the sale of _______________ of GOLD STANDARD VENTURES CORP. (the ”Company”)
represented by certificate no. ______________ to which this declaration relates is being made in reliance on Rule 904 of Regulation
S (“Regulation S”) under the United States Securities Act of 1933, as amended (the “U.S. Securities
Act”) and (b) certifies that (1) it is not an “affiliate” (as defined in Rule 405 under the U.S. Securities
Act) of the Company, (2) the offer of such securities was not made to a person in the United States and either (A) at the time
the buy order was originated, the buyer was outside the United States, or the seller and any person acting on its behalf reasonably
believe that the buyer was outside the United States, or (B) the transaction was executed on or through the facilities of the
Toronto Stock Exchange or TSX Venture Exchange or other “designated offshore securities market” and neither the seller
nor any person acting on its behalf knows that the transaction has been prearranged with a buyer in the United States, (3) neither
the seller nor any affiliate of the seller nor any person acting on any of their behalf has engaged or will engage in any directed
selling efforts in the United States in connection with the offer and sale of such securities, (4) the sale is bona fide and not
for the purpose of “washing off” the resale restrictions imposed because the securities are “restricted securities”
(as such term is defined in Rule 144(a)(3) under the U.S. Securities Act), (5) the seller does not intend to replace the securities
sold in reliance on Rule 904 of Regulation S with fungible unrestricted securities, and (6) the contemplated sale is not
a transaction, or part of a series of transactions which, although in technical compliance with Regulation S, is part of a plan
or scheme to evade the registration provisions of the U.S. Securities Act. Terms used herein have the meanings given to them by
Regulation S.
SCHEDULE A
FORM
4C
CORPORATE
PLACEE REGISTRATION FORM
This
Form will remain on file with the Exchange and must be completed if required under section 4(b) of Part II of Form 4B. The corporation,
trust, portfolio manager or other entity (the “Placee”) need only file it on one time basis, and it will be referenced
for all subsequent Private Placements in which it participates. If any of the information provided in this Form changes, the Placee
must notify the Exchange prior to participating in further placements with Exchange listed Issuers. If as a result of the Private
Placement, the Placee becomes an Insider of the Issuer, Insiders of the Placee are reminded that they must file a Personal Information
Form (2A) or, if applicable, Declarations, with the Exchange.
|
(c) |
Jurisdiction of Incorporation or Creation: |
|
|
|
|
|
2. |
(a) |
Is the Placee purchasing securities as
a portfolio manager: (Yes/No)? |
|
|
|
|
|
(b) |
Is the Placee carrying on business
as a portfolio manager outside of Canada: |
|
|
(Yes/No)? _______________ |
3. | If
the answer to 2(b)
above was “Yes”,
the undersigned certifies
that: |
| (a) | it
is
purchasing
securities
of
an
Issuer
on
behalf
of
managed
accounts
for
which
it
is
making
the
investment
decision
to
purchase
the
securities
and
has
full
discretion
to
purchase
or
sell
securities
for
such
accounts
without
requiring
the
client’s
express
consent
to
a
transaction; |
| (b) | it
carries
on
the
business
of
managing
the
investment
portfolios
of
clients
through
discretionary
authority
granted
by
those
clients
(a
“portfolio
manager”
business)
in
____________________
[jurisdiction],
and
it
is
permitted
by
law
to
carry
on
a
portfolio
manager
business
in
that
jurisdiction; |
| (c) | it
was
not
created
solely
or
primarily
for
the
purpose
of
purchasing
securities
of
the
Issuer; |
| (d) | the
total
asset
value
of
the
investment
portfolios
it
manages
on
behalf
of
clients
is
not
less
than
$20,000,000;
and |
| (e) | it
has
no
reasonable
grounds
to
believe,
that
any
of
the
directors,
senior
officers
and
other
insiders
of
the
Issuer,
and
the
persons
that
carry
on
investor
relations
activities
for
the
Issuer
has
a
beneficial
interest
in
any
of
the
managed
accounts
for
which
it
is
purchasing. |
4. | If
the
answer
to
2(a).
above
was
“No”,
please
provide
the
names
and
addresses
of
Control
Persons
of
the
Placee: |
Name
* |
City |
Province
or State |
Country |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*
If the Control Person is not an individual, provide the name of the individual that makes the investment decisions on behalf
of the Control Person.
5. | Acknowledgement
-
Personal
Information
and
Securities
Laws |
| (a) | “Personal
Information”
means
any
information
about
an
identifiable
individual,
and
includes
information
contained
in
sections
1,
2
and
4,
as
applicable,
of
this
Form. |
The undersigned hereby
acknowledges and agrees that it has obtained the express written consent of each individual to:
| (i) | the
disclosure
of
Personal
Information
by
the
undersigned
to
the
Exchange
(as
defined
in
Appendix
6B)
pursuant
to
this
Form;
and |
| (ii) | the
collection,
use
and
disclosure
of
Personal
Information
by
the
Exchange
for
the
purposes
described
in
Appendix
6B
or
as
otherwise
identified
by
the
Exchange,
from
time
to
time. |
| (b) | The
undersigned
acknowledges
that
it
is
bound
by
the
provisions
of
applicable
Securities
Law,
including
provisions
concerning
the
filing
of
insider
reports
and
reports
of
acquisitions. |
Dated and certified (if applicable), acknowledged and agreed,
at ________________________ on __________________________________________
|
|
|
(Name of Purchaser - please print) |
|
|
|
(Authorized Signature) |
|
|
|
(Official Capacity - please print) |
|
|
|
(Please print name of individual whose signature appears above) |
THIS
IS NOT A PUBLIC DOCUMENT
Schedule
B
CANADIAN
ACCREDITED INVESTOR STATUS CERTIFICATE
TO: |
Gold Standard Ventures Corp. (the “Company”) |
|
|
AND TO: |
Macquarie Capital Markets Canada Ltd. |
|
Medalist Capital Ltd. |
|
TD Securities Inc. |
|
National Bank Financial Inc. |
|
(collectively, the “Agents”) |
In
connection with the purchase of units of the Company (the “Units”) by the undersigned subscriber or, if applicable,
the principal on whose behalf the undersigned is purchasing as agent (the “Subscriber” for the purposes of
this Schedule B), the Subscriber hereby represents, warrants, covenants and certifies to the Company and the Agents and their
respective counsel that:
| 1. | The
Subscriber
is
purchasing
or
is
deemed
to
be
purchasing
the
Units
as
principal
for
its
own
account
or
complies
with
the
provisions
of
paragraph 10(e)
of
the
Subscription
Agreement; |
| 2. | The
Subscriber
is
an
“accredited
investor”
within
the
meaning
of
National
Instrument
45-106
entitled
“Prospectus
and
Registration
Exemptions”
(“NI
45-106”)
by
virtue
of
satisfying
the
indicated
criterion
as
set
out
in
this
Schedule
B; |
| 3. | The
Subscriber
was
not
created
or
used
solely
to
purchase
or
hold
securities
as
an
accredited
investor
as
described
in
paragraph
(m)
of
the
definition
of
“accredited
investor”
in
NI
45-106;
and |
| 4. | Upon
execution
of
this
Schedule
B
by
the
Subscriber,
this
Schedule
B
shall
be
incorporated
into
and
form
a
part
of
the
Subscription
Agreement. |
Dated: February 24, 2014. |
|
|
|
|
|
|
FCMI Parent Co. |
|
Print name of Subscriber |
|
|
|
|
By: |
/s/ Xxx Xxxxxxxx |
|
|
Signature |
|
|
|
|
Xxx Xxxxxxxx |
|
Print name of Signatory (if different from Subscriber) |
|
|
|
|
Vice President |
|
Title |
IMPORTANT:
PLEASE INITIAL THE APPLICABLE PROVISION IN
APPENDIX “A” ON THE NEXT PAGES
APPENDIX
“A”
TO
SCHEDULE B
| NOTE: | THE
SUBSCRIBER
MUST
INITIAL
BESIDE
THE
APPLICABLE
PORTION
OF
THE
DEFINITION
BELOW. |
Accredited
Investor - (defined in National Instrument 45-106) means:
|
|
|
|
_______ |
(a) |
|
a Canadian financial institution, or a Schedule III bank; or |
|
|
|
|
_______ |
(b) |
|
the Business Development Bank of Canada incorporated under the Business Development Bank of Canada Act (Canada); or |
|
|
|
|
_______ |
(c) |
|
a subsidiary of any person referred to in paragraphs (a) or (b), if the person owns all of the voting securities of the subsidiary, except the voting securities required by law to be owned by directors of that subsidiary; or |
|
|
|
|
_______ |
(d) |
|
a person registered under the securities legislation of a jurisdiction of Canada as an adviser or dealer, other than a person registered solely as a limited market dealer under one or both of the Securities Act (Ontario) or the Securities Act (Newfoundland and Labrador); or |
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_______ |
(e) |
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an individual registered or formerly registered under the securities legislation of a jurisdiction of Canada as a representative of a person referred to in paragraph (d); or |
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_______ |
(f) |
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the Government of Canada or a jurisdiction of Canada, or any crown corporation, agency or wholly-owned entity of the Government of Canada or a jurisdiction of Canada; or |
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_______ |
(g) |
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a municipality, public board or commission in Canada and a metropolitan community, school board, the Comité de gestion de la taxe scolaire de l’île de Montréal or an intermunicipal management board in Québec; or |
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_______ |
(h) |
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any national, federal, state, provincial, territorial or municipal government of or in any foreign jurisdiction, or any agency of that government; or |
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_______ |
(i) |
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a pension fund that is regulated by either the Office of the Superintendent of Financial Institutions (Canada) or a pension commission or similar regulatory authority of a jurisdiction of Canada; or |
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_______ |
(j) |
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an individual who, either alone or with a spouse, beneficially owns financial assets having an aggregate realizable value that before taxes, but net of any related liabilities, exceeds $1,000,000; or |
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_______ |
(k) |
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an individual whose net income before taxes exceeded $200,000 in each of the 2 most recent calendar years or whose net income before taxes combined with that of a spouse exceeded $300,000 in each of the 2 most recent calendar years and who, in either case, reasonably expects to exceed that net income level in the current calendar year; or |
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(Note: if individual accredited investors wish to purchase through
wholly-owned holding companies or similar entities, such purchasing entities must qualify under section (t) below, which
must be initialled.) |
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_______ |
(l) |
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an individual who, either alone or with a spouse, has net assets of at least $5,000,000; or |
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XX |
(m) |
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a person, other than an individual or investment fund, that has net assets of at least $5,000,000 as shown on its most recently prepared financial statements; or |
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_______ |
(n) |
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an investment fund that distributes or has distributed its securities only to |
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(a) |
a person that is or was an accredited investor at the time of the distribution, |
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(b) |
a person that acquires or acquired securities in the circumstances referred to in sections 2.10 or 2.19 of National Instrument 45-106, or |
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(c) |
a person described in paragraph (i) or (ii) that acquires or acquired securities under section 2.18 of National Instrument 45-106; or |
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_______ |
(o) |
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an investment fund that distributes or has distributed securities under a prospectus in a jurisdiction of Canada for which the regulator or, in Québec, the securities regulatory authority, has issued a receipt; or |
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_______ |
(p) |
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a trust company or trust corporation registered or authorized to carry on business under the Trust and Loan Companies Act (Canada) or under comparable legislation in a jurisdiction of Canada or a foreign jurisdiction, acting on behalf of a fully managed account managed by the trust company or trust corporation, as the case may be; or |
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_______ |
(q) |
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a person acting on behalf of a fully managed account managed by that person, if that person |
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(i) |
is registered or authorized to carry
on business as an adviser or the equivalent under the securities legislation of a jurisdiction of Canada or a foreign jurisdiction,
and |
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(ii) |
in Ontario, is purchasing a security that is not a security of an investment fund; or |
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_______ |
(r) |
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a registered charity under the Income Tax Act (Canada) that, in regard to the trade, has obtained advice from an eligibility adviser or an adviser registered under the securities legislation of the jurisdiction of the registered charity to give advice on the securities being traded; or |
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_______ |
(s) |
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an entity organized in a foreign jurisdiction that is analogous to any of the entities referred to in paragraphs (a) to (d) or paragraph (i) in form and function; or |
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_______ |
(t) |
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a person in respect of which all of the owners of interests, direct, indirect or beneficial, except the voting securities required by law to be owned by directors, are persons that are accredited investors (as defined in National Instrument 45-106); or |
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_______ |
(u) |
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an investment fund that is advised by a person registered as an adviser or a person that is exempt from registration as an adviser; or |
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_______ |
(v) |
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a person that is recognized or designated by the securities regulatory authority or, except in Ontario and Québec, the regulator as an accredited investor. |
For the purposes hereof:
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(a) |
“affiliate” means an issuer connected
with another issuer because |
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(i) |
one of them is the subsidiary of the other; or |
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(ii) |
each of them is controlled by the same person. |
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(b) |
“Canadian financial institution” means |
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(i) |
an association governed by the Cooperative Credit Associations Act (Canada) or a central cooperative credit society for which an order has been made under section 473(1) of that Act, or |
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(ii) |
a bank, loan corporation, trust company, trust corporation, insurance company, treasury branch, credit union, caisse populaire, financial services cooperative, or league that, in each case, is authorized by an enactment of Canada or a jurisdiction of Canada to carry on business in Canada or a jurisdiction of Canada; |
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(c) |
“consultant” means, for an issuer, a person,
other than an employee, executive officer, or director of the issuer or of a related entity of the issuer, that |
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(i) |
is engaged to provide services to the issuer or a related entity of the issuer, other than services provided in relation to a distribution, |
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(ii) |
provides the services under a written contract with the issuer or a related entity of the issuer, and |
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(iii) |
spends or will spend a significant amount of time and attention on the affairs and business of the issuer or a related entity of the issuer, |
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and includes |
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(iv) |
for an individual consultant, a corporation of which the individual consultant is an employee or shareholder, and a partnership of which the individual consultant is an employee or partner, and |
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(v) |
for a consultant that is not an individual, an employee, executive officer, or director of the consultant, provided that the individual employee, executive officer, or director spends or will spend a significant amount of time and attention on the affairs and business of the issuer or a related entity of the issuer; |
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(d) |
“control person” has the same meaning
as in the applicable securities laws, rules, regulations or policies. |
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(e) |
“director” means |
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(i) |
a member of the board of directors of a company or an individual who performs similar functions for a company, and |
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(ii) |
with respect to a person that is not a company, an individual who performs functions similar to those of a director of a company; |
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(f) |
“eligibility adviser” means |
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(i) |
a person that is registered as an investment dealer and authorized to give advice with respect to the type of security being distributed, and |
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(ii) |
in Saskatchewan and Manitoba, also means a lawyer who is a practicing member in good standing with a law society of a jurisdiction of Canada or a public accountant who is a member in good standing of an institute or association of chartered accountants, certified general accountants or certified management accountants in a jurisdiction of Canada provided that the lawyer or public accountant must not |
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(A) |
have a professional, business or personal relationship with the issuer, or any of its directors, executive officer, founders, or control persons, and |
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(B) |
have acted for or been retained personally or otherwise as an employee, executive officer, director, associate or partner of a person that has acted for or been retained by the issuer or any of its directors, executive officers, founders or control persons within the previous 12 months; |
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(g) |
“executive officer” means, for an issuer,
an individual who is |
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(i) |
a chair, vice-chair or president, |
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(ii) |
a vice-president in charge of a principal business unit, division or function including sales, finance or production, or |
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(iii) |
performing a policy-making function in respect of the issuer; |
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(h) |
“financial assets” means |
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(i) |
cash, |
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(ii) |
securities, or |
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(iii) |
a contract of insurance, a deposit or an evidence of a deposit that is not a security for the purposes of securities legislation; |
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(i) |
“foreign jurisdiction” means a country
other than Canada or a political subdivision of a country other than Canada; |
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(j) |
“founder” means, in respect of an issuer,
a person who, |
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(i) |
acting alone, in conjunction, or in concert with one or more persons, directly or indirectly, takes the initiative in founding, organizing or substantially reorganizing the business of the issuer, and |
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(ii) |
at the time of the distribution or trade is actively involved in the business of the issuer; |
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(k) |
“fully managed account” means an account
of a client for which a person makes the investment decisions if that person has full discretion to trade in securities for
the account without requiring the client’s express consent to a transaction; |
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(l) |
“investment fund” means a mutual fund
or a non-redeemable investment fund, and, for greater certainty in British Columbia, includes and EVVC and a VCC; |
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(m) |
“jurisdiction” means a province or territory
of Canada except when used in the term foreign jurisdiction; |
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(n) |
“local jurisdiction” means the jurisdiction
in which the Canadian securities regulatory authority is situate; |
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(o) |
“non-redeemable investment fund” means
an issuer, |
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(i) |
whose primary purpose is to invest money provided by its securityholders, |
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(ii) |
that does not invest, |
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(A) |
for the purpose of exercising or seeking to exercise control of an issuer, other than an issuer that is a mutual fund or a non-redeemable investment fund, or |
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(B) |
for the purpose of being actively involved in the management of any issuer in which it invests, other than an issuer that is a mutual fund or a non-redeemable investment fund, and |
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(iii) |
that is not a mutual fund; |
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(p) |
“person” includes |
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(i) |
an individual, |
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(ii) |
a corporation, |
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(iii) |
a partnership, trust, fund and an association, syndicate, organization or other organized group of persons, whether incorporated or not, and |
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(iv) |
an individual or other person in that person’s capacity as a trustee, executor, administrator or personal or other legal representative; |
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(q) |
“regulator” means, for the local jurisdiction,
the Executive Director or Director as defined under securities legislation of the local jurisdiction; |
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(r) |
“related liabilities” means |
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(i) |
liabilities incurred or assumed for the purpose of financing the acquisition or ownership of financial assets, or |
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(ii) |
liabilities that are secured by financial assets; |
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(s) |
“Schedule III bank” means an authorized foreign bank named in Schedule III of the Bank Act (Canada); |
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(t) |
“spouse” means, an individual who, |
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(i) |
is married to another individual and is not living separate and apart within the meaning of the Divorce Act (Canada), from the other individual, |
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(ii) |
is living with another individual in a marriage-like relationship, including a marriage-like relationship between individuals of the same gender, or |
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(iii) |
in Alberta, is an individual referred to in paragraph (i) or (ii), or is an adult interdependent partner within the meaning of the Adult Interdependent Relationships Act (Alberta); |
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(u) |
“subsidiary” means an issuer that is controlled
directly or indirectly by another issuer and includes a subsidiary of that subsidiary. |
All
monetary references are in Canadian Dollars.
Schedule
c
U.S.
ACCREDITED INVESTOR STATUS CERTIFICATE
This
is Schedule C to the Subscription Agreement relating to the purchase of Units of GOLD STANDARD VENTURES CORP. Capitalized terms
used but not defined in this schedule are intended to have the meanings ascribed thereto, as applicable, in the body of this Subscription
Agreement.
The undersigned
certifies, represents, warrants and covenants (which certifications, representations, warranties and covenants shall survive the
Closing Date) to and with the Company, the Agents and the U.S. Affiliates and their respective counsel (and acknowledges that
the Company, the Agents and the U.S. Affiliates and their respective counsel are relying thereon) that it, and if applicable,
each person for whose account it is purchasing the Units, satisfies one or more of the categories of “accredited investor”,
as such term is defined in Rule 501(a) of Regulation D, indicated below (the Purchaser must initial and xxxx “P”
for the Purchaser and “BP” for each beneficial purchaser, if any, on the appropriate line(s)):
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________Category 1. |
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A bank, as defined in Section 3(a)(2) of the U.S. Securities Act, whether acting in its individual or fiduciary capacity; or |
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________Category 2. |
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A savings and loan association or other institution as defined in Section 3(a)(5)(A) of the U.S. Securities Act, whether acting in its individual or fiduciary capacity; or |
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________Category 3. |
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A broker or dealer registered pursuant to Section 15 of the United States Securities Exchange Act of 1934, as amended; or |
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________Category 4. |
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An insurance company as defined in Section 2(a)(13) of the U.S. Securities Act; or |
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________Category 5. |
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An investment company registered under the United States Investment Company Act of 1940, as amended; or |
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________Category 6. |
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A business development company as defined in Section 2(a)(48) of the United States Investment Company Act of 1940, as amended; or |
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________Category 7. |
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A Small Business Investment Company licensed by the United States Small Business Administration under Section 301 (c) or (d) of the United States Small Business Investment Act of 1958, as amended; or |
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________Category 8. |
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A plan established and maintained by a state, its political subdivisions or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, with total assets in excess of U.S.$5,000,000; or |
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________Category 9. |
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An employee benefit plan within the meaning of the United States Employee Retirement Income Security Act of 1974, as amended, in which the investment decision is made by a plan fiduciary, as defined in Section 3(21) of such Act, which is either a bank, savings and loan association, insurance company or registered investment adviser, or an employee benefit plan with total assets in excess of U.S.$5,000,000 or, if a self-directed plan, with investment decisions made solely by persons who are accredited investors; or |
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________Category 10. |
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A private business development company as defined in Section 202(a)(22) of the United States Investment Advisers Act of 1940, as amended; or |
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________Category 11. |
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An organization described in Section 501(c)(3) of the United States Internal Revenue Code of 1986, as amended, a corporation, a Massachusetts or similar business trust, a partnership or a limited liability company, not formed for the specific purpose of acquiring the securities offered, with total assets in excess of U.S.$5,000,000; or |
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________Category 12. |
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Any director or executive officer
of the issuer of the securities being offered or sold, or any director, executive officer or general partner of a general partner
of the issuer; or |
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________Category 13. |
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A natural person whose individual net worth, or joint net worth with that person’s spouse, at the date of the purchase exceeds U.S.$1,000,000; |
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(Note: For purposes of calculating “net worth” under this category: |
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1. The person’s primary residence shall not be included as an asset; |
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2. Indebtedness that is secured by the person’s primary residence, up to the estimated fair value of the primary residence at the time of the sale of securities, shall not be included as a liability (except that if the amount of such indebtedness outstanding at the time of the sale of securities exceeds the amount outstanding 60 days before such time, other than as a result of the acquisition of the primary residence, the amount of such excess shall be included as a liability); and |
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3. Indebtedness that is secured by the person’s primary residence in excess of the estimated fair market value of the primary residence at the time of the sale of securities shall be included as a liability.); or |
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________Category 14. |
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A natural person who had an individual income in excess of U.S.$200,000 in each of the two most recent years or joint income with that person’s spouse in excess of U.S.$300,000 in each of those years and has a reasonable expectation of reaching the same income level in the current year; or |
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________Category 15. |
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A trust, with total assets in excess of U.S.$5,000,000, not formed for the specific purpose of acquiring the securities offered, whose purchase is directed by a sophisticated person as described in Rule 506(b)(2)(ii) under Regulation D; or |
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________Category 16. |
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Any entity in which all of the equity owners meet the requirements of at least one of the above categories. |
The Purchaser
undertakes to notify the Company, the Agents and the U.S. Affiliates immediately of any change in any representation, warranty
or other information relating to the Purchaser set forth herein which takes place prior to the Closing Date.
All monetary
references in this Schedule C are in United States dollars.
[Remainder
of page intentionally left blank. Signature page follows.]
If a Corporation, Partnership or Other Entity: |
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If an Individual: |
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Name of Entity |
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Signature |
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Type of Entity |
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Print or Type Name |
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Signature of Person Signing |
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Print or Type Name and Title of Person Signing |
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