Las Vegas Gaming places convertibles with IGT; Bear Lake upsizes; Tagish Lake sweetens terms

By Kenneth Lim

Boston, Oct. 7 - Las Vegas Gaming, Inc. announced an $11.5 million convertible placement to a subsidiary of International Game Technology as part of a strategic investment.

Bear Lake Gold Ltd. upsized a planned exploration financing by more than 50%, while Tagish Lake Gold Corp. sweetened its placement's terms but welcomed two additional investors.

Las Vegas Gaming eyes $11.5 million

Las Vegas Gaming plans to raise $11.5 million through a convertible placement to IGT, a wholly owned subsidiary of listed International Game Technology.

The company is issuing about 4.69 million shares of series I 6.5% convertible preferred stock at $2.45 apiece. The initial conversion price of the preferreds is the same as the offering price.

IGT will also receive a warrant for 1.5 million common shares, exercisable at $2.45 for three years.

Las Vegas Gaming, a Las Vegas-based private company, makes and sells gaming equipment to casinos.

As part of the deal, IGT will have the right to nominate to Las Vegas Gaming's board a number of directors proportionate to its equity stake.

Bear Lake upsizes

Bear Lake Gold is upsizing a planned placement of units and flow-through shares to C$6.41 million from C$4.08 million.

The company now plans to issue C$5.01 million of flow-through common stock at C$0.55 per share. The flow-through stock was originally offered at C$0.83 apiece for a total of C$3.03 million.

Bear Lake Gold is also offering C$1.4 million units of one common share and one warrant at C$0.50 per unit. The unit placement was originally at C$0.75 per unit for C$1.05 million in total. Each warrant will now be exercisable at C$0.75 for 18 months, instead of C$0.95 for two years.

Bear Lake Gold common stock (TSX: BLG) closed unchanged at C$0.52 on Tuesday.

The over-allotment option was also raised to an additional C$1.6 million in units, shares or a combination. The original greenshoe was for C$1.01 million.

Proceeds will be used for exploration.

Based in Longueuil, Quebec, Bear Lake Gold is a gold and precious minerals exploration company.

Tagish sweetens deal

Tagish Lake Gold said it is attaching an additional quarter warrant to the units in its planned C$5 million private placement.

The deal involves 100 million stock and warrant units a C$0.05 per unit. Each unit will now comprise one common share and one half-share warrant. The units initially consisted of one common share and a quarter-share warrant. Each whole warrant has a strike price at C$0.075.

Tagish common stock (TSX: TLG) closed flat at C$0.015 on Tuesday.

But Tagish also announced that the number of investors taking part in the placement has increased by two from the initial one, Yukon-Shaanxi Mining Co. Inc. The two new parties are non-related, the company announced.

The deal will be conducted with a group of investors which includes Yukon-Shaanxi Mining Co. Inc.

Proceeds will be used to redress the company's financial situation and to move forward.

Tagish is a gold and silver exploration company based in Vancouver, B.C.

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