By Sheri Kasprzak
New York, Jan. 11 - Fortuna Silver Mines Inc. closed a private placement for C$34.2 million, including a fully exercised greenshoe.
The company issued 18 million units in the deal, including the over-allotment option for 6 million units exercised by a syndicate of agents led by Pacific International Securities Inc. and Sprott Securities Inc.
The syndicate of agents also included Salman Partners Inc.
The units are comprised of one share and one half-share warrant. Each whole warrant is exercisable at C$2.30 for 18 months.
The deal priced on Dec. 11 as an C$11.4 million offering of 6 million units under the same terms.
Proceeds will be used to advance the company's San Jose project in Mexico, to repay a credit facility used to acquire its 76% interest in the project and for working capital.
Fortuna is a silver producer based in Vancouver, B.C.
| Issuer: | Fortuna Silver Mines Inc.
|
| Issue: | Units of one share and one half-share warrant
|
| Amount: | C$34.2 million
|
| Units: | 18 million (including greenshoe for 6 million units)
|
| Price: | C$1.90
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | 18 months
|
| Warrant strike price: | C$2.30
|
| Placement agents: | Pacific International Securities Inc. (lead), Sprott Securities Inc. (lead), Salman Partners Inc.
|
| Settlement date: | Jan. 11
|
| Stock symbol: | TSX Venture: FVI
|
| Stock price: | C$2.22 at close Jan. 11
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