Bayhorse Closes Final 1 Million Unit Tranche of 2 Million Unit Non-Brokered Private Placement

SEPTEMBER 1, 2015 BHS2015-28

Bayhorse Silver Inc. BHS: TSX-V (the “Company” or “Bayhorse“) announces that, subject to TSX Venture Exchange (TSX-V) approval, it has closed the final 1 million unit tranche of its previously announced 2,000,000 Unit non-brokered private placement for gross proceeds of $60,000.

Each $0.06 cent Unit consists of one (1) common share and one (1) transferable common share purchase warrant. Each warrant is exercisable into one (1) common share of the Company at an exercise price of $0.10, for a period of 24 months from the issuance date.

Funds raised will be used for the Bayhorse Silver Mine & general and administration purposes.

In addition to any other exemption available to the Company, participation in the financing is also open to existing shareholders who are not accredited investors under the “existing shareholder” exemption of National Instrument 45-106 as promulgated in Multilateral CSA notice 45-313 in participating jurisdictions.

Mr. Graeme O’Neill, a director and officer of the Company has subscribed for 1,000,000 Units of the placement and has sold 863,000 shares of the Company through the facilities of the TSX-Venture Exchange. Upon completion of the placement he will hold 3,687,600 shares representing 13.21% of the Company’s issued and outstanding shares. The Units were priced in accordance with the policies of the TSX Venture Exchange. The acquisition of units under the private placement were exempt from a formal valuation and minority approval requirements of Multilateral Instrument 61-101 pursuant to sections 5.5(a) and 5.7(a) of that instrument.
All securities issued under the private placement are subject to a four-month and one day hold period.

The Company has recently closed a US$250,000 first tranche of a US750,000, 12%, three year, convertible, silver-convertible, 2% net revenue participation debenture