Deal with C$600,000 greenshoe will finance exploration expenditures
By Devika Patel
Knoxville, Tenn., June 2 - Rogue Resources Inc. said it increased a non-brokered private placement of units to C$4 million from C$3 million. The deal is being conducted on a best-efforts basis by Jennings Capital Inc. and priced May 26 with a 15% greenshoe of C$450,000. The greenshoe is now for C$600,000.
The company will now sell units of one common share and one half-share warrant at C$0.25 apiece and flow-through units of one flow-through common share and a half-share warrant at C$0.33 each.
Each whole warrant, whether acquired as part of a unit or flow-through unit, will be exercisable at C$0.37 for two years. The strike price represents a 15.63% premium to the May 25 closing share price of C$0.32.
The company said that the number of flow-through units may not exceed 40% of the total number of units and flow-through units sold in the offering.
Settlement is expected June 16.
Proceeds will be used to fund exploration expenditures on the company's Canadian mineral projects, for expenditures on the company's Radio Hill iron ore property and for general working capital.
Rogue is a Vancouver, B.C.-based advanced-stage nickel, iron and gold exploration company.
| Issuer: | Rogue Resources Inc.
|
| Issue: | Units of one common share and one half-share warrant, flow-through units of one flow-through common share and one half-share warrant
|
| Amount: | C$4 million
|
| Greenshoe: | C$600,000
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$0.37
|
| Agent: | Jennings Capital Inc.
|
| Pricing date: | May 26
|
| Upsized: | June 2
|
| Settlement date: | June 16
|
| Stock symbol: | TSX Venture: RRS
|
| Stock price | C$0.32 at close May 25
|
| Market capitalization: | C$6.62 million
|
|
|
| Units
|
| Price: | C$0.25
|
|
|
| Flow-through units
|
| Price: | C$0.33
|
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