Deal includes C$1.36 million greenshoe; funds slated for exploration
By Devika Patel
Knoxville, Tenn., Nov. 2 - Nemaska Exploration Inc. said it completed a C$7.86 million private placement of units. The deal priced for C$5 million on Oct. 8 and was increased to C$6.5 million with a 15% greenshoe on Oct. 20.
The company raised C$2.01 million by selling 5,032,500 units at C$0.40 each and C$5.85 million by selling 11,702,000 flow-through units at C$0.50 each for a total of C$7.86 million, which includes a C$1.36 million greenshoe that was exercised.
Each unit consists of one common share and one warrant. Each flow-through unit consists of one flow-through common share and one warrant.
Each warrant is exercisable for two years at C$0.55. The strike price reflects a 41.03% premium to the Oct. 7 closing share price of C$0.39.
The deal was conducted by a syndicate of agents led by Dundee Securities Corp. and including Industrial Alliance Securities Inc.
Proceeds will be used for exploration and development of the company's Quebec properties and for general working capital.
Nemaska is a mineral exploration company based in Quebec City.
| Issuer: | Nemaska Exploration Inc.
|
| Issue: | Units of one common share and one warrant; flow-through units of one flow-through common share and one warrant
|
| Amount: | C$7,864,000 (including C$1,364,000 greenshoe)
|
| Warrants: | One per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$0.55
|
| Agents: | Dundee Securities Corp. (lead) and Industrial Alliance Securities Inc.
|
| Pricing date: | Oct. 8
|
| Upsized: | Oct. 20
|
| Settlement date: | Nov. 2
|
| Stock symbol: | TSX Venture: NMX
|
| Stock price: | C$0.39 at close Oct. 8
|
| Market capitalization: | C$16.23 million
|
|
|
| Units
|
| Amount: | C$2,013,000
|
| Units: | 5,032,500
|
| Price: | C$0.40
|
|
|
| Flow-through units
|
| Amount: | C$5,851,000
|
| Units: | 11,702,000
|
| Price: | C$0.50
|
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