Norsemont Mining settles $7.92 million offering; Portal pockets C$5.13 million

By Laura Lutz

Des Moines, July 20 - Canadian companies led a slow day for PIPEs news on Friday.

Norsemont Mining Inc. closed a private placement of units for C$7.92 million, reduced significantly from the previously announced deal size of C$9 million.

The company sold 4.95 million units, decreased from the announced 5.625 million units, at C$1.60 per unit.

Each unit is made up of one share and one-half share warrant. Each whole warrant is exercisable at C$1.95 for two years.

At pricing on June 28, the deal was expected to include 5.625 million units, and each unit was expected to include a full warrant.

The Sentient Group, the largest Norsemont shareholder, bought C$2 million of the units.

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

Norsemont is a mining company based in Vancouver, B.C.

The company's shares lost C$0.10, or 5.56%, to close at C$1.70 on Friday (Toronto: NOM).

In other Canadian resource news, Portal Resources Ltd. settled a private placement of units for C$5,126,550.

The Portal placement also closed down from, reduced slightly from the C$5,129,800 deal size announced on July 6.

The company sold 7.887 million units of one share and one half-share warrant at C$0.65 per unit. Each whole warrant is exercisable at C$0.85 for one year.

The deal priced on June 6 as a C$4 million offering of 6,153,846 units.

It was upsized to a C$4.55 million offering of 7 million units July 6, and it was further increased to C$5,129,800 later in the day.

The placement was non-brokered.

Proceeds will be used for exploration and working capital.

Portal is a uranium, precious and base metal exploration company with headquarters in Vancouver, B.C.

The company will use the proceeds for exploration on its projects in Argentina and the United States and for working capital.

Portal's shares lost C$0.01, or 1.52%, to finish Friday at C$0.65 (TSX Venture: PDO).

Fortsum completes C$7 million deal

In the technology sector, Quebec-based Fortsum Business Solutions Inc. closed the second and final tranche of a C$7 million private placement of units.

The placement included 12,727,274 units at C$0.55 per unit.

Each unit consists of one share and one half-share warrant, with each whole warrant exercisable at C$0.70 per for 12 months.

The placement closed in two equal tranches, the first on June 21 and the second on Friday.

Northern Securities Inc. was the agent.

The company said in a news release that it will use the proceeds for future business acquisitions.

Quebec City-based Fortsum develops data management software. Its shares ended Friday up C$0.02, or 3.85%, at C$0.54 (TSX Venture: FRT).

Dussault to raise $5 million

In U.S. news, several companies announced deals in the $5 million range.

Dussault Apparel Inc. priced a private placement of units for up to $5 million.

The company will issue up to 5 million units of one share and one non-transferable warrant. Each warrant is exercisable at $1.25 for 24 months.

Proceeds will be used for acquisitions, working capital, growing market share and building the company's brand, according to a news release.

Dussault is an apparel company based in Los Angeles. Its stock ended Friday unchanged at $1.25 (OTCBB: DUSS).

Quantum Fuel secures $5 million

Also in the technology sector, Quantum Fuel Systems Technologies Worldwide Inc. secured a $5 million securities purchase agreement.

If the company chooses to draw on the commitment, the lender can choose between three structures:

• Common stock at a 25% discount to market price plus warrants for the same number of shares with an exercise price equal to the market price;

•A two-year, 12% secured convertible note, convertible at a 10% discount to the 10-day weighted average trading price; or

• A two-year, 18% senior secured note.

Quantum Fuel is an engineering company based in Irvine, Calif.

The company's stock lost 2 cents, or 1.39%, to close at $1.42 on Friday before gaining 0.05 cents in after-hours trading.

Teton Energy to raise $4.87 million

Teton Energy Corp. arranged a direct placement of stock for $4,868,503.

The company said investors have committed to buy 964,060 common shares at $5.05 each.

The investors will also receive 337,421 warrants, exercisable at $6.06 for five years.

Ferris, Baker Watts, Inc. is the lead placement agent, with Commonwealth Associates, LP as co-agent.

Settlement is expected on July 25.

Teton is a Denver-based oil and gas company.

Shea closes $4.6 million PIPE

Software company Shea Development Corp. secured $4.6 million from a private placement of convertible preferred stock.

The company sold 4.6 million shares of convertible series B preferred stock and warrants for 9.477 million common shares.

The series B preferreds have a term of three years and accrue dividends payable in cash at 4.5% per year and dividends payable in common stock at 4.5% per year. They are convertible into 9.2 million common shares at $0.50 per share.

Upon closing, the company issued about 1.242 million common shares as a prepayment of the dividends payable in stock.

All of the warrants are exercisable at $0.01 per share for five years.

Liberty Co. Financial, LLC; Ascendiant Securities, LLC; and Securities Research Associates, Inc. were the placement agents.

Based in Marietta, Georgia, Shea develops business process-management software.

Proceeds of the deal will be used for the company's planned acquisitions of Riptide Software, Inc., Bravera, Inc. and a third company.

"This funding allows us to complete the mergers of Riptide and Bravera and provides the combined company a solid foundation to accelerate the key initiatives of our growth strategy," Shea chairman and chief executive officer Frank Wilde said in a news release. "We will continue to execute a strategy of organic growth and profitable acquisitions to capitalize on the growing demand within the BPM and content management industries."

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