Proceeds to be used to explore, develop Lac Cinquante uranium deposit
By Devika Patel
Knoxville, Tenn., April 1 - Kivalliq Energy Corp. said it settled the initial tranche of a private placement of stock, raising C$4.28 million on a non-brokered basis. The deal priced on March 7 for C$17.81 million and was revised to raise C$5 million on a non-brokered basis and C$6.67 million through an underwriting syndicate with a C$1.67 million greenshoe on March 23.
In the non-brokered deal, the company is selling 10 million common shares at C$0.50 apiece. It sold 8.55 million shares in the first closing. The price per share reflects a 39.02% discount to the March 4 closing share price of C$0.82. The shares were previously priced at C$0.78.
In the brokered offering, Kivalliq is selling 11.12 million flow-through shares at C$0.60 per flow-through share, decreased from the original C$0.90 share price. The price per share is a 26.83% discount to the March 4 closing share price.
The underwriting syndicate is being led by Canaccord Genuity Corp. and includes Raymond James Ltd., Dundee Securities Ltd., Haywood Securities Inc. and Versant Partners Inc. The greenshoe will consist of flow-through common shares.
Settlement of the second non-brokered tranche is expected April 5.
Proceeds will be used to explore and develop Kivalliq's high-grade Lac Cinquante uranium deposit and for general working capital.
Kivalliq is a uranium exploration and development company based in Vancouver, B.C.
| Issuer: | Kivalliq Energy Corp.
|
| Issue: | Flow-through shares, common shares
|
| Amount: | C$11,672,000
|
| Warrants: | No
|
| Pricing date: | March 7
|
| Revised: | March 23
|
| Settlement dates: | April 1 (for C$4,275,000), April 5
|
| Stock symbol: | TSX Venture: KIV
|
| Stock price: | C$0.82 at close March 4
|
| Market capitalization: | C$44 million
|
|
|
| Common shares
|
| Amount: | C$5 million
|
| Shares: | 10 million (8.55 million in first tranche)
|
| Price: | C$0.50
|
| Agent: | Non-brokered
|
|
|
| Flow-through shares
|
| Amount: | C$6,672,000
|
| Greenshoe: | C$1,668,000
|
| Shares: | 11.12 million
|
| Price: | C$0.60
|
| Agents: | Canaccord Genuity Corp., Raymond James Ltd., Dundee Securities Ltd., Haywood Securities Inc. and Versant Partners Inc.
|
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