Americas Petrogas adds non-brokered deal; iTech secures backer; Lithium sells $2 million units

By Stephanie N. Rotondo

Portland, Ore., March 25 - Thursday's PIPE market saw a more varied mix of sectors - from mining and resource to health care related - coming to market.

Americas Petrogas Inc. added a C$6 million non-brokered private placement of stock to its previously announced C$7 million brokered private placement. The funding will go toward exploration and development.

iTech Medical Inc. meantime said it had secured an investor for a $2.2 million private placement of equity. The investor has the option to invest another $1 million, as well.

Elsewhere, Lithium Corp. pocketed $2 million from a private placement of units. The company intends to use the funds for exploration on its Nevada properties.

And, Border Petroleum Inc. brought a C$2 million private placement of convertible debentures to market. The financing will take the place of a cancelled private placement of units.

Americas adds non-brokered offering

Americas Petrogas announced that it would conduct a non-brokered private placement of equity in conjunction with its previously announced underwritten brokered placement.

The Calgary, Alta.-based company intends to raise C$6 million in the non-brokered portion and, as previously reported, C$7 million in brokered tranche.

The brokered portion also includes a C$3 million greenshoe.

Americas will sell approximately 7.41 million common shares at C$0.81 in the non-brokered financing. Approximately 8.64 million shares will be issued in the brokered transaction, as the same price per share.

Proceeds raised in the financings will be used for ongoing exploration and development of the company's Argentinean oil and gas properties, as well as to advance the Bayovar potash project in Peru. Settlement is expected by March 31.

A company spokesperson was unavailable for comment Thursday.

Americas' stock (TSX Venture: BOE) gained 2 cents, or 2.22%, to C$0.92. Market capitalization is C$85.2 million.

iTech secures European investor

iTech Medical, a Huntington Beach, Calif.-based developer of health care information systems, inked a financing agreement with a "European investor," according to a press release.

The agreement allows for the private placement of $2.2 million of common stock over the course of 12 months. The investor also has an option to invest another $1 million during the following six months.

iTech will sell 4 million shares to the investor at $0.30 each and another 2 million shares at $0.50 each. Warrants for another 6 million shares will also be issued, with strike prices ranging from $0.40 to $0.80 per share.

The warrants expire Aug. 31, 2013.

"The proceeds from this financing are expected to provide us with the resources we need to achieve our near-term clinical and regulatory goals," said Wayne Cockburn, president and chief executive officer, in the release.

iTech's equity (OTCBB: IMSU) ended steady at $0.45. Market capitalization is $11 million.

Lithco sells $2 million of units

Lithium Corp. took in $2 million from a non-brokered private placement of units, the company said in a press release.

A total of 2 million units were sold at $1.00 each. The units contained one common share and one warrant. The two-year warrants are exercisable at $1.20 in the first year and at $1.35 in the second.

The investors also have the right to participate in any future private placements.

"Lithco intends to use the proceeds from this private placement for future on-going exploration efforts on its six lithium properties in Nevada," the company said in the release.

The company could not be reached for comment on Thursday.

Lithco's shares (OTCBB: LTUM) slipped 3 cents, or 2.40%, to $1.22. Market capitalization is $76.9 million.

Border brings deal, cancels another

Border Petroleum is seeking C$2 million from a private placement of 18-month 10% secured convertible debentures.

The financing came as the company announced it had canceled a previously announced C$2 million private placement of units. Border said the cancellation was "due to adverse market conditions," in a press release.

According to the terms of the new financing, the debentures will be convertible into common shares at an initial conversion price of C$0.10 per share.

Proceeds from the transaction will be used to conduct a re-entry program at Border's Red Earth properties, as well as for general working capital.

Border's stock (TSX Venture: BOP.H) closed unchanged at C$0.025.

Border Petroleum is a Calgary, Alta.-based oil and gas company.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.