New Issue: Northern Star Mining closes C$7 million private placement of shares

By Sheri Kasprzak

Atlanta, April 14 - Northern Star Mining Corp. said it has completed a private placement for C$7,000,150.

The company sold a total of 10,000,334 flow-through shares at C$0.45 each and 6.25 million non flow-through units at C$0.40 each.

The units include one share and one half-share warrant. The whole warrants allow for an additional share at C$0.50 each for 18 months.

Underwriters Canaccord Capital Corp. and Octagon Capital Corp. exercised an over-allotment option for C$1.5 million.

The private placement was first announced March 8 as a C$4.5 million deal but was upsized to C$5,500,150 on April 1. The deal initially called for the sale of up to 10 million units at C$0.45 each. The price of the warrants was also reduced from C$0.55.

Based in Vancouver, B.C., Northern Star is a gold exploration company. It plans to use the proceeds for exploration on its Midway project and for working capital.

Issuer:	Northern Star Mining Corp.
Issue:	Flow-through shares and units of one share and one half-share warrant
Amount:	C$6,980,150 (includes greenshoe for C$1.5 million)
Placement agents:	Canaccord Capital Corp. and Octagon Capital Corp.
Pricing date:	March 8
Settlement date:	April 14
Stock price:	C$0.48 at close March 8
Stock price:	C$0.44 at April 14
Flow-through shares
Issue:	Flow-through shares
Shares:	10,000,334
Price:	C$0.45
Warrants:	No
Units
Issue:	Units of one share and one half-share warrant
Units:	6.25 million
Price:	C$0.40
Warrants:	One half-share warrant per unit
Warrant expiration:	18 months
Warrant strike price:	C$0.50

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