By Laura Lutz
Washington, Dec. 18 - Rocmec Mining Inc. settled the third and final tranche of a previously announced placement of convertible debentures for total proceeds of C$1.5 million and settled a private placement of shares for C$142,920.
The debentures carry an interest rate of 12% plus a maximum net smelter return (NSR) royalty of 1.8% on gold ounces produced during the first year at Russian Kid and 1.2% thereafter.
The debentures mature on Dec. 31, 2008. They are redeemable on demand with a three-month interest and royalty penalty.
Holders may convert 30% of the total amount of the debentures into common shares at C$0.30 per share. Rocmec may force conversion of 70% of the total amount of the debentures into common shares at C$0.70 per share if the closing stock price exceeds C$0.90 for the last 30 days before conversion.
The company raised C$700,000 in the third tranche of the debentures offering.
In the stock placement, the company sold 320,000 non flow-through shares at C$0.20 each and 281,857 flow-through shares at C$0.28 each.
Insiders of the company bought 135,000 non flow-through shares.
The deals priced on Oct. 12 as an offering of convertible debentures for at least C$1 million and up to C$1.5 million and an offering of flow-through shares for up to $381,988.
Rocmec is a Pointe-Claire, Quebec, exploration company focused on precious metal projects.
| Issuer: | Rocmec Mining Inc.
|
| Issue: | Convertible debentures, non flow-through shares and flow-through shares
|
| Amount: | C$1,642,920
|
| Pricing date: | Oct. 12
|
| Settlement date: | Dec. 18
|
| Stock symbol: | TSX Venture: RMI
|
| Stock price: | C$0.19 at close Oct. 12
|
| Stock price: | C$0.21 at close Dec. 18
|
|
|
| Convertible debentures
|
| Amount: | C$1.5 million
|
| Maturity: | Dec. 31, 2008
|
| Coupon: | 12%
|
| Price: | Par
|
| Yield: | 12% plus a maximum NSR royalty of 1.8% on gold ounces produced during the first year at Russian Kid and 1.2% thereafter
|
| Conversion price: | C$0.30 per share for up to 30% of the debentures
|
| Call: | Redeemable with a three-month interest and royalty penalty
|
| Warrants: | No
|
|
|
| Non flow-through shares
|
| Shares: | 320,000
|
| Price: | C$0.20
|
| Warrants: | No
|
|
|
| Flow-through shares
|
| Shares: | 281,857
|
| Price: | C$0.28
|
| Warrants: | No
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
