Mullen plans C$125 million offering; International Tower wraps stock sale; GeneLink completes deals

By Stephanie N. Rotondo

Portland, Ore., March 4 - Mullen Group Income Fund will sell 10% convertible debentures in a C$125 million private placement, the company announced Wednesday.

Meanwhile, International Tower Hill Mines Ltd. settled a C$10.5 million stock sale. The deal included a C$5 million greenshoe, which was fully exercised.

GeneLink Inc., a bioscience company, also completed deals, according to a press release. The company raised $2.42 million in two separate placements.

St. Louis-based International Fuel Technology Inc. announced that it completed a $1.05 million stock sale on Tuesday. A company spokesperson told Prospect News that they were "very happy" with the outcome.

Jesup & Lamont Inc. closed on $4.2 million of new financings, the company said.

Itibiti Systems Inc., a subsidiary of Intertainment Media Inc., plans to issue convertible debt in a C$3 million private placement, according to an announcement made late Tuesday.

Mullen's C$125 million offering

Mullen Group Income Fund is planning to raise C$125 million by issuing 10% unsecured convertible bonds in a private placement.

The debt will be sold in increments of C$1,000, according to a press release. Settlement is expected May 1.

TD Securities Inc. acted as placement agent.

Mullen Group is a privately held company.

Mullen is an Aldersyde, Alta.-based open-ended income fund.

International Tower stock sale

International Tower Hill, a Vancouver, B.C.-based resource exploration company, announced Wednesday that it had completed a C$10.5 million private placement of stock.

The deal was originally priced at C$5 million on Feb. 12 and included a C$5 million greenshoe.

International Tower issued 4.2 common shares at C$2.50 per share. No warrants were included in the deal.

Proceeds from the funding will be used to further develop mining projects in Alaska and Nevada.

International's equity (TSX: ITH) gained 10 cents, or 3.76%, to close at $2.76.

GeneLink raises $2.42 million

GeneLink said Wednesday that it had completed two separate private placements, raising a total of $2.42 million.

On Feb. 26, GeneLink settled a $1 million tranche of a $1.5 million convertible notes sale, according to a filing with the Securities and Exchange Commission. The notes bear interest at 8% until Feb. 26, 2011 and 10% interest thereafter. The notes mature on Feb. 26, 2014.

Furthermore, the bonds are convertible after Aug. 26 into common shares at a conversion price of 10 cents per share.

The company also included warrants in the deal, giving investors one-and-a-half warrants per $1.00 in notes purchased. For the first tranche, the company issued 1.5 million warrants, out of a total of 2.25 million warrants issued overall, which are exercisable at 11 cents until the notes mature.

Also, the company said that it closed a second private placement in January. However, it did not give details regarding that transaction.

First Equity Capital Securities acted as placement agent.

"In view of difficult conditions in the financial markets, we are extremely pleased with the financial recognition GeneLink has received," said Monte Taylor, GeneLink's chief executive officer, in a press release. "The fact that the funding raised in our two private placements came from shareholders of GeneLink and marketing affiliates of GeneWize Life Sciences, Inc., as well as from arms-length financial investors, reflects the broad-based excitement and enthusiasm we are experiencing. Among other uses, these funds have been and will continue to be used to upgrade the infrastructure of GeneWize to enable us to support the anticipated demand for our products and services.

"This financial support confirms the continued interest in our proprietary and scientific ability to customize nutrition," Taylor continued. "GeneWize, the marketing and distribution subsidiary of GeneLink, has completed research and development of several new product and program enhancements that will begin shipping this month."

GenLink's stock (OTCBB: GNLK) held steady at 12 cents. Market capitalization is $11 million.

GeneLink is a Jersey City, N.J.-based bioscience company focused on skin care and weight loss.

International Fuel sells stock, options

International Fuel completed a $1.05 million placement of stock on March 3, the company said in a regulatory filing.

The company sold 4.21 million restricted common shares at 25 cents per share, according to Stuart Beath, International Fuel's chief financial officer.

Investors also received options good for an additional 2.1 million restricted common shares at 25 cents per share. The options vest immediately and expire March 3, 2014.

Overall, Beath said the company was "very happy" with the outcome of the deal.

"For a company our size, [a public offering] is not really available," he told Prospect News, noting that the company's traded over the counter. "You really can't do it in a traditional sense and get respectful terms, which we got."

Therefore, the company chose to go the private route, he said, adding that a public offering would have resulted in "very dilutive onerous terms."

International Fuel's stock (OTCBB: IFUE) lost 2 cents, or 5.66%, to end at $0.25. Market capitalization is $27 million.

International Fuel is a St. Louis-based company focused on additive technology.

Jesup sells $4.2 million of equity

Jesup & Lamont raised $4.2 million though new financings, according to a press release.

Of the fund raising, $2 million was arranged with Legent Clearing LLC in connection with a recently announced clearing agreement. The remaining funds were sold to investors as a series of equity investments, with each unit consisting of four common shares and one warrant.

"The completion of these financings, our strategic alliance with Legent, and our recent reduction in corporate overhead and operating expenses will create a strong platform to expand and create a boutique capital markets and wealth management firm while taking full advantage of the opportunities and current turmoil in our industry," said Steven Rabinovici, chairman of Jesup & Lamont, in the release.

Proceeds from the deal will be used to expand brokerage operations at the company's Jesup & Lamont Security Corp. subsidiary.

Jesup & Lamont's equity (Amex: JLI) dropped 2 cents, or 5%, to $0.38.

Jesup & Lamont is a Longwood, Fla.-based investment firm.

Itibiti to raise C$3 million

Intertainment Media announced late Tuesday that its subsidiary, Itibiti Systems Inc., plans to raise C$3 million through a private placement of convertible debentures.

The 15% convertibles will be sold at C$50,000 each. The debt may be converted into Intertainment units at C$0.11 per unit or into Itibiti common shares at C$0.70 per share. The Intertainment units consist of one common share and one warrant, exercisable at C$0.16 for two years.

Intertainment's stock (TSX: INT) gained a penny, or 9.09%, to C$0.12.

Intertainment is a Toronto-based media company.

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