Company completes two offerings on a brokered, non-brokered basis
By Devika Patel
Knoxville, Tenn., March 1 - Allana Potash Corp. said it increased a private placement of stock. The deal priced for C$20.01 million with a C$3 million greenshoe on Feb. 3 and was increased to C$27.9 million with a C$4.19 million greenshoe. The company raised the full C$32.09 million in the brokered deal and also raised C$6.24 million in a non-brokered offering.
The company sold 20.7 million common shares at C$1.55 per share in the brokered placement. Of the shares, 2.7 million were part of the fully exercised greenshoe. The price per share represents a 2.65% premium to the Feb. 2 closing share price of C$1.51.
The deal was conducted on a bought-deal basis by an agent syndicate led by Dundee Securities Ltd. and including Wellington West Capital Markets Inc., Cormark Securities Inc. and Fraser Mackenzie Ltd.
The company also sold 4,022,748 shares in a non-brokered private placement at the same price to Liberty Metals & Mining Holdings, LLC for C$6.24 million.
Proceeds will be used for exploration and development work, including a definitive feasibility study, at the company's Ethiopian potash project as well as potential land acquisitions and general corporate purposes.
Toronto-based Allana is a potash asset developer.
| Issuer: | Allana Potash Corp.
|
| Issue: | Common shares
|
| Amount: | C$38,320,259
|
| Price: | C$1.55
|
| Warrants: | No
|
| Settlement date: | March 1
|
| Stock symbol: | TSX Venture: AAA
|
| Stock price: | C$1.83 at close Feb. 3
|
| Market capitalization: | C$203.07 million
|
|
|
| Brokered deal
|
| Amount: | C$32,085,000 (including C$4,185,000 greenshoe)
|
| Shares: | 20.7 million
|
| Agents: | Dundee Securities Ltd. (lead), Wellington West Capital Markets Inc., Cormark Securities Inc. and Fraser Mackenzie Ltd.
|
| Pricing date: | Feb. 3
|
| Upsized: | Feb. 4
|
|
|
| Non-brokered deal
|
| Amount: | C$6,235,259
|
| Shares: | 4,022,748
|
| Warrants: | No
|
| Agent: | Non-brokered
|
| Investor: | Liberty Metals & Mining Holdings, LLC
|
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