By Laura Lutz
Des Moines, July 18 - Rainy River Resources Ltd. priced a private placement of units and flow-through shares for C$25.06 million.
The company plans to sell 3.85 million units at C$5.20 each and 840,000 flow-through shares at C$6.00 each.
The units will each consist of one non flow-through share and one half-share non flow-through warrant. Each whole warrant will be exercisable at C$6.00 for 18 months.
Canaccord Capital Corp. will lead an underwriting syndicate that also includes Wellington West Securities.
The underwriters have a greenshoe for up to 1.925 million additional units for additional proceeds of up to C$10.01 million.
When the deal originally priced on Wednesday morning, the greenshoe consisted of up to C$5 million of any combination of units and flow-through shares, subject to a C$2.5 million cap on the additional flow-through shares.
The greenshoe was amended to its current size in a news release later on Wednesday.
Proceeds will be used for exploration, potential acquisitions and general corporate purposes.
Rainy River is a metals exploration company based in Vancouver, B.C.
| Issuer: | Rainy River Resources Ltd.
|
| Issue: | Units of one non flow-through share and one half-share non flow-through warrant; flow-through shares
|
| Amount: | C$25.06 million
|
| Underwriters: | Canaccord Capital Corp. (lead), Wellington West Securities
|
| Pricing date: | July 18
|
| Stock symbol: | TSX Venture: RR
|
| Stock price: | C$5.47 at close July 17
|
|
|
| Units
|
| Units: | 3.85 million
|
| Greenshoe: | For 1.925 million units
|
| Price: | C$5.20
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | 18 months
|
| Warrant strike price: | C$6.00
|
|
|
| Flow-through shares
|
| Shares: | 840,000
|
| Price: | C$6.00
|
| Warrants: | No
|
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