New Issue: Northern Star closes $1.13 mln second tranche of $17.92 mln units sale

By Devika Patel

Knoxville, Tenn., Nov. 27 - Northern Star Mining Corp. said it has settled the second and final tranche of a $17.92 million private placement of units, raising $1.13 million. The first tranche of the deal settled on Nov. 26 for $16.8 million.

As previously reported, each unit consists of $1,000 principal amount of transferable senior secured notes and warrants for 1,000 shares.

The warrants are exercisable at C$1.40 per share until Nov. 26, 2012.

The notes mature in two years and bear interest at 14% per year.

Casimir Capital LP is the lead agent. Casimir received a 5% cash commission and broker warrants exercisable for 896,000 common shares, with the same terms and conditions as the unit warrants.

Proceeds will be used for exploration and development and for working capital.

Northern Star is a mining company based in Vancouver, B.C.

Issuer:	Northern Star Mining Corp.
Issue:	Units of $1,000 principal amount of transferable senior secured notes and warrants for 1,000 shares
Amount:	$17.92 million ($16,795,000 for first tranche, $1,125,000 for second tranche)
Units:	17,920
Price:	$1,000
Maturity:	Two years
Coupon:	14%
Price:	Par
Yield:	14%
Warrants:	For 1,000 shares per unit
Warrant expiration:	Nov. 26, 2012
Warrant strike price:	C$1.40
Agent:	Casimir Capital LP
Fees:	5% in cash, warrants for 896,000 common shares
Settlement date:	Nov. 26 (for $16,795,000); Nov. 27 (for $1,125,000)
Stock symbol:	TSX Venture: NSM
Stock price:	C$0.85 at close Nov. 26

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