Greenshoe exercised; deal funds planned acquisition of Madsen Project
By Devika Patel
Knoxville, Tenn., March 4 - Laurentian Goldfields Ltd. said it settled its C$18.58 million private placement of units. The deal priced on Jan. 24 and was increased to C$15 million with a C$3.75 million greenshoe from C$10 million with a C$2.5 million greenshoe on Feb. 6.
The company sold 74,326,500 units of one common share and one half-share warrant at C$0.25 per unit on a best-efforts basis. Of the units, 14,326,500 were part of the partially exercised greenshoe.
The whole warrants are exercisable at C$0.50 each for 30 months. The warrant strike price is a 525% premium to the Jan. 23 closing share price of C$0.08.
The deal was conducted by a syndicate of agents led by Macquarie Capital Markets Canada Ltd. and including Canaccord Genuity Corp. and Axemen Resource Capital.
Proceeds will be used to complete the company's planned acquisition of the Madsen Gold Project, for working capital and for general corporate purposes.
Laurentian is a gold exploration and development company based in Vancouver, B.C.
| Issuer: | Laurentian Goldfields Ltd.
|
| Issue: | Units of one common share and one half-share warrant
|
| Amount: | C$18,581,625, including C$3,581,625 greenshoe
|
| Units: | 74,326,500
|
| Price: | C$0.25
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | 30 months
|
| Warrant strike price: | C$0.50
|
| Agents: | Macquarie Capital Markets Canada Ltd. (lead), Canaccord Genuity Corp. and Axemen Resource Capital
|
| Pricing date: | Jan. 24
|
| Upsized: | Feb. 6
|
| Settlement date: | March 4
|
| Stock symbol: | TSX Venture: LGF
|
| Stock price: | C$0.08 at close Jan. 23
|
| Market capitalization: | C$701,490
|
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