By Sheri Kasprzak
New York, Oct. 31 - Nevsun Resources Ltd. settled its previously announced private placement, including the greenshoe, for C$30 million.
The company sold 10 million units, including the over-allotment option for 1.65 million units exercised by a syndicate of underwriters led by Haywood Securities Inc. and Canaccord Capital Corp.
The units consist of one share and one half-share warrant. The whole warrants are exercisable at C$4.00 each for three years.
The expiry of the warrants may be accelerated to 30 days if the company's stock trades above C$5.00 for more than 10 consecutive trading days.
The offering priced Oct. 18 as a C$25.05 million deal comprised of 8.35 million units.
Proceeds will be used for pre-production on the company's Bisha project in Eritrea and for general corporate purposes.
Based in Vancouver, B.C., Nevsun is a gold, copper and zinc exploration company.
| Issuer: | Nevsun Resources Ltd.
|
| Issue: | Units of one share and one half-share warrant
|
| Amount: | C$30 million
|
| Units: | 10 million (includes greenshoe for 1.65 million)
|
| Price: | C$3.00
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Three years
|
| Warrant strike price: | C$4.00
|
| Underwriters: | Haywood Securities Inc. (lead), Canaccord Capital Corp. (lead)
|
| Pricing date: | Oct. 18
|
| Settlement date: | Oct. 31
|
| Stock symbol: | Toronto: NSU
|
| Stock price: | C$3.08 at close Oct. 17
|
| Stock price: | C$3.16 at close Oct. 31
|
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