Non-brokered offering to fund upgrade of company's mineral resources
By Devika Patel
Knoxville, Tenn., Nov. 19 - Adriana Resources Inc. said it completed the third tranche of a non-brokered private placement of common shares. The deal priced Oct. 28 and the company completed an initial tranche on Oct. 29 for C$2 million. It raised C$4.85 million on Nov. 11 and C$3.15 million in this, the final tranche.
The company raised a total of C$10 million by selling 27,027,024 shares at C$0.37 apiece. It sold 5,405,404 shares in the first tranche and 13,108,107 shares in the second, with 8,513,513 shares sold in the final tranche. The per-share price represents a 1.33% discount to the Oct. 27 closing share price of C$0.375.
Proceeds will be used to increase and upgrade the company's mineral resources by completing the assaying from the drill program completed in 2010, update the National Instrument 43-101 compliant Technical Report and Mineral Resource Estimate that was issued by Watts, Griffis and McOuat on the company's Lac Otelnuk Property, engage additional consultants in Brazil to advance permitting and detailed engineering/design, for an advanced environmental study of the company's port facility and for general corporate purposes.
"The willingness of certain current shareholders and their overseas associates to make this at-the-market investment with no warrants enables us to minimize dilution to our existing shareholders while providing the capital necessary to advance our projects," Allen J. Palmiere said in a press release at pricing.
"The participants of the private placement have demonstrated confidence in and commitment to the company, its projects, its management and board of directors. This is a very strong sign of support for which we are very grateful."
Adriana is a mineral exploration and development company based in Vancouver, B.C.
| Issuer: | Adriana Resources Inc.
|
| Issue: | Common shares
|
| Amount: | C$10 million
|
| Shares: | 27,027,024
|
| Price: | C$0.37
|
| Warrants: | No
|
| Agents: | Non-brokered
|
| Pricing date: | Oct. 28
|
| Settlement date: | Oct. 29 (for C$2 million), Nov. 11 (for C$4.85 million), Nov. 19 (for C$3.15 million)
|
| Stock symbol: | TSX Venture: ADI
|
| Stock price: | C$0.36 at close Oct. 28
|
| Market capitalization: | C$49.98 million
|
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