Syndicate also has C$1.57 million greenshoe; deal to fund gold assets
By Devika Patel
Knoxville, Tenn., Feb. 17 - Unigold Inc. said it will conduct a C$10.44 million private placement of units with a C$1.57 million greenshoe. The placement priced for C$10 million on Friday and was increased a few hours later.
The company will sell 34.8 million units of one common share and one half-share warrant at C$0.30 per unit. Each whole two-year warrant will be exercisable at C$0.50. The strike price reflects a 69.49% premium to the Feb. 16 closing share price of C$0.295.
The offering is being conducted on a bought-deal basis by a syndicate of underwriters led by Dundee Securities Ltd., co-led by Primary Capital Inc. and including Stifel Nicolaus Canada Inc., Clarus Securities Inc. and PowerOne Capital Markets Ltd.
Settlement is expected March 8.
Proceeds will be used to advance the exploration and development of the company's gold assets in the Dominican Republic and for general corporate purposes
Toronto-based Unigold is a gold exploration company.
| Issuer: | Unigold Inc.
|
| Issue: | Units of one common share and one half-share warrant
|
| Amount: | C$10.44 million
|
| Greenshoe: | C$1,566,000
|
| Units: | 34.8 million
|
| Price: | C$0.30
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$0.50
|
| Underwriters: | Dundee Securities Ltd. (lead), Primary Capital Inc. (co-lead), Stifel Nicolaus Canada Inc., Clarus Securities Inc. and PowerOne Capital Markets Ltd.
|
| Pricing date: | Feb. 17
|
| Upsized: | Feb. 17
|
| Settlement date: | March 8
|
| Stock symbol: | TSX Venture: UGD
|
| Stock price: | C$0.295at close Feb. 16
|
| Market capitalization: | C$53.02 million
|
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