Overnight brokered offering planned alongside non-brokered shares sale
By Devika Patel and Stephanie N. Rotondo
Knoxville, Tenn., March 22 - Trevali Resources Corp. said it priced a C$7 million private placement of stock. The deal was announced Monday and is being conducted on an overnight marketed basis through underwriters Raymond James Ltd. and M Partners Inc.; the company also plans a C$3 million non-brokered offering of shares.
The company will sell common shares at C$1.90 apiece, an 18.8% discount to the March 21 closing share price of C$2.34.
"We are basically in the midst of putting two mines into production," Steve Stakiw, manager of corporate communications, said in an interview with Prospect News. That, along with the company's exploration program, presented a need for funding, he explained.
Stakiw also said that investor response has been "very good" and that the deal is already "fully subscribed."
"It's ready to close," he said, adding that the company had no plans to upsize the financing.
Settlement is expected April 6.
Proceeds will be used for the construction of the Santander Mine, for continued exploration expenditures in Peru and for general administrative and corporate purposes.
Trevali is a zinc, lead and silver mining company based in Vancouver, B.C.
| Issuer: | Trevali Resources Corp.
|
| Issue: | Common shares
|
| Amount: | C$10 million
|
| Price: | C$1.90
|
| Warrants: | No
|
| Agents: | Raymond James Ltd. and M Partners Inc. (for C$7 million), non-brokered (for C$3 million)
|
| Announcement date: | March 21
|
| Pricing date: | March 22
|
| Settlement date: | April 6
|
| Stock symbol: | Toronto: TV
|
| Stock price: | C$2.34 at close March 21
|
| Market capitalization: | C$143.82 million
|
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