Energy Fuels, Sprott Resource are lead investors in non-brokered deal
By Devika Patel
Knoxville, Tenn., Jan. 28 - Virginia Energy Resources Inc. said it concluded a C$10.11 million non-brokered private placement of stock. The deal with lead investors Energy Fuels Inc. and Sprott Resource Corp. priced for C$6 million on Dec. 28. Of the proceeds raised, C$6.4 million was raised in cash, with the remainder paid in the form of 21,851,411 Energy Fuels Inc. common shares.
The company sold 24,079,856 common shares at C$0.42 apiece, which is a 17.65% discount to the Dec. 5 closing share price of C$0.51.
Proceeds will be used to bring significant expertise to the Coles Hill project.
The company also said it closed a bridge loan facility for C$750,000 with Sprott Resource Lending Partnership on Dec. 27. The bridge loan is repayable Feb. 28, 2013 and bears interest at 12%.
Vancouver, B.C.-based Virginia Energy is a mineral explorer focused on the energy sector with emphasis placed on uranium projects.
| Issuer: | Virginia Energy Resources Inc.
|
| Issue: | Common shares
|
| Amount: | C$10,113,540 (C$6,398,800 in cash, 21,851,411 Energy Fuels Inc. common shares)
|
| Shares: | 24,079,856
|
| Price: | C$0.42
|
| Warrants: | No
|
| Agent: | Non-brokered
|
| Investor: | Energy Fuels Inc., Sprott Resource Corp. (leads)
|
| Pricing date: | Dec. 6
|
| Settlement date: | Jan. 28
|
| Stock symbol: | TSX Venture: VUI
|
| Stock price: | C$0.51 at close Dec. 5
|
| Market capitalization: | C$20.88 million
|
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