Non-brokered offer addresses hard dollar shortfall due to 2009 buyout
By Marisa Wong
Madison, Wis., Oct. 21 - Moneta Porcupine Mines Inc. completed a C$1.5 million non-brokered private placement of non-flow-through (hard) dollar units, according to a news release.
The company issued 7.5 million units at C$0.20 each. Each unit consists of one common share and one share purchase warrant. Each warrant entitles the holder to purchase one common share at an exercise price of C$0.35 for 18 months following the closing of the placement. The strike price represents a 40% premium to the C$0.25 closing share price on Oct. 20.
According to the release, if the closing price of Moneta shares trade above a certain price during the warrant term, Moneta has the right to accelerate the exercise of the warrant to a date seven days following written notice to holders.
"The objective of this financing was to address a hard dollar shortfall prior to December 31, 2010 resulting from the December 2009 buyout of the joint venture partner on the Golden Highway Project which is now 100% owned by Moneta," said president and chief executive officer Ian C. Peres in the release.
Proceeds will be used on exploration and development programs in the Porcupine and Golden Highway Camps and for general working capital purposes.
Moneta is a Timmins, Ont.-based gold mineral exploration and development company
| Issuer: | Moneta Porcupine Mines Inc.
|
| Issue: | Units of one common share and one warrant
|
| Amount: | C$1.5 million
|
| Units: | 7.5 million
|
| Price: | C$0.20
|
| Warrants: | One warrant per unit
|
| Warrant expiration: | 18 months
|
| Warrant strike price: | C$0.35
|
| Agent: | Non-brokered
|
| Announcement date: | Oct. 21
|
| Stock symbol: | TSX Venture: ME
|
| Stock price: | C$0.25 at close Oct. 20
|
| Market capitalization: | C$32.46 million
|
© 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.
