Bergio cancels credit line; Saracen Mineral takes in A$35 million; Arrowhead wraps unit sale

By Stephanie N. Rotondo

Portland, Ore., June 23 - Jewelry maker Bergio International Inc. said it had canceled a previously inked $25 million equity line in an 8-K filed with the Securities and Exchange Commission on Wednesday.

According to a company spokesperson, the company is looking at other financing opportunities and has been approached by other potential investors.

In news from the land Down Under, Saracen Mineral Holdings Ltd. announced it had completed an A$35 million private placement of ordinary shares. Proceeds will be used for development of the company's properties, as well as for the retirement of outstanding debt.

Arrowhead Research Corp. meantime said it had closed an $8.66 million registered direct offering of units. The company intends to use the funds to advance its subsidiaries.

And, Newstrike Capital Inc. brought a C$5 million private placement of units to market. The company also said it had nearly completed a previously announced acquisition of concessions from Goldcorp Inc.

Bergio terminates credit line

Bergio International, an East Fairfield, N.J.-based maker of upscale jewelry, canceled a $25 million equity line with Tangiers Investors LP, according to a regulatory filing.

The parties had originally entered into the securities purchase agreement on Nov. 16. Under the terms of the credit facility, Bergio would sell common shares to the investor at a 12% discount to the five-day volume-weighted average rice of the shares preceding the draw request.

Since the inking of the agreement, no shares were issued to the investor.

John Cole, investor relations for Bergio, said the company is "looking at other opportunities" for financing purposes. "We have been approached by other institutions, which makes sense [for the company] in the short and long term."

Cole declined to say if any deals were about to get done. However, he said the company "will be very forthright once we do a transaction."

"I feel that the termination of this contract was made in the best interest of not only the company but the shareholders as well," Berge Abajian, CEO, said in a press release published late Tuesday.

"We are still moving forward with our original plan of potential acquisition candidates and we are currently analyzing alternative options for financing which I feel will make more sense economically in relation to both our short term and long term expansion strategies."

Bergio's equity (OTCBB: BRGO) fell a cent, or 26.09%, to $0.02. Market capitalization is $1.72 million.

Saracen takes in A$35 million

Melbourne, Australia-based Saracen Mineral pocketed A$35 million from a private placement of ordinary shares, according to a press release.

The company sold 92.1 million shares at A$0.38 each. The price per share represents a 13% discount to the company's A$0.43 (Australia: SAR) closing price on June 23.

The deal came in two tranches with the first comprising A$22.8 million of the shares. The second tranche - for proceeds of A$12.2 million - will wrap upon receiving shareholder approval to issue the new shares.

Proceeds from the financing will be used for the development of Saracen's high-grade Red October project in the South Laverton district of Western Australia. The funds will also be used to retire debt and to accelerate regional exploration.

"Saracen has received very strong support for this capital raising, putting the company in a very sound financial position with growth options," remarked Guido Staltari, managing director, in the release.

"With the successful commissioning of Carosue Dam, the high-grade nature of the current inventory at Red October makes it an obvious development opportunity to expedite and exploit. Also, the exploration potential in this world-class gold district is outstanding."

Arrowhead wraps direct sale

Arrowhead Resources settled an $8.66 million registered direct offering of units, the company announced.

Arrowhead issued 6.6 million of the units at $1.312 each. The units hold one common share and one half-share warrant.

Whole warrants are exercisable at $1.65 for five years. The strike price represents a 33% premium to the stock's closing price of $1.24 on June 22.

Proceeds will be used to strengthen the company's balance sheet, as well as to allow its subsidiaries to continue to grow and also allowing the company to take advantage of new opportunities.

"Our lead subsidiaries, Calando and Unidym, are making significant progress and the current offering is important to continuing this momentum," said Christopher Anzalone, chief executive officer, in a press release.

"Calando's first ever demonstration of systemic siRNA delivery and gene silencing in humans was a considerable achievement, and our augmented balance sheet will better enable us to maximize its value by approaching potential partnerships from a position of strength. Similarly, Unidym has made great progress entering touch panel markets, and we are now in a better position to negotiate commercial alliances and strategic investments into that company.

"In addition, we are looking to ramp up our activity in nanomedicine by adding a new subsidiary to our portfolio and increasing our positions in our existing minority investments."

Arrowhead's shares (Nasdaq: ARWR) gained 3 cents, or 2.42%, to $1.27. Market capitalization is $81.17 million.

Arrowhead Research is a Pasadena, Calif.-based developer of nanotechnology used in life sciences, electronics and energy.

Newstrike to raise C$5 million

Newstrike Capital is seeking C$5 million from a private placement of units, the company said in a press release.

The Vancouver, B.C.-based company will sell 12.5 million units at C$0.40 each. The units will contain one common share and one half-share warrant.

Whole warrants are exercisable at C$0.80 for 18 months. The exercise price is a 90% premium over the share closing price of C$0.42 on June 22.

Richard Whittall, president and CEO, told Prospect News that the "C$5 million is to round out drilling this summer and hopefully to add to what we think is a discovery."

The financing comes as the company is getting ready to settle its acquisition of a 100% interest in the Ana Paula mining concessions from Goldcorp Inc. The concessions are near Newstrike's Aurea Norte project in Guerrero, Mexico.

Whittall said the company has had "a long history" in Guerrero. "We've been there for many years, so we understand the geological models."

He added that "this gold belt in Mexico is not well known." He noted that data has shown there to be about 15 million ounces of gold in the region.

Whittall said he is hoping the deal will close by the end of June, but as "the market it a little choppy...it might be challenging to get [some investors involved]." At the latest, he said he expects the financing to close within the first few weeks of July, adding that the deal was already about halfway subscribed.

Newstrike's stock (TSX Venture: NES) closed unchanged at C$0.42. Market capitalization is C$28.14 million.

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