Proceeds to be used to explore, develop Lac Cinquante uranium deposit
By Devika Patel
Knoxville, Tenn., April 5 - Kivalliq Energy Corp. said it settled the second non-brokered tranche of a private placement of stock, raising C$875,000. The deal priced on March 7 for C$17.81 million and was revised on March 23 to raise C$5 million on a non-brokered basis and C$6.67 million through an underwriting syndicate. The brokered portion of the deal has a C$1.67 million greenshoe consisting of flow-through common shares.
The company raised C$4.28 million on a non-brokered basis on April 1; this tranche completes the C$5.15 million non-brokered portion of the deal, which sold C$150,000 more of shares than expected.
In the non-brokered portion, the company sold a total of 10.3 million common shares at C$0.50 apiece. It sold 8.55 million shares in the first closing and 1.75 million shares in the second tranche. 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.
Proceeds will be used to explore and develop Kivalliq's high-grade Lac Cinquante uranium deposit and for general working capital purposes.
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$11,822,000
|
| Warrants: | No
|
| Pricing date: | March 7
|
| Revised: | March 23
|
| Settlement dates: | April 1 (for C$4,275,000), April 5 (for C$875,000)
|
| Stock symbol: | TSX Venture: KIV
|
| Stock price: | C$0.82 at close March 4
|
| Market capitalization: | C$41.36 million
|
|
|
| Common shares
|
| Amount: | C$5.15 million
|
| Shares: | 10.3 million (8.55 million in first tranche, 1.75 million in second)
|
| 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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