Company inks deal with Procon Mining & Tunnelling to fund acquisition
By Devika Patel
Knoxville, Tenn., Sept. 13 - Lincoln Mining Corp. said it raised C$1.2 million in the first tranche of a C$4.6 million non-brokered private placement of stock and convertible debentures with Procon Mining & Tunnelling Ltd. The deal priced Sept. 5.
The company is selling 46 million common shares at C$0.05 per share for C$2.3 million. The price per share is identical to the Sept. 4 closing share price. Lincoln sold 24 million shares in the initial tranche.
In addition, the investor will buy a C$2.3 million three-year 6% convertible debenture, which is convertible into 23 million common shares at C$0.10 per share, a 100% premium to the Sept. 4 closing price.
Settlement of the final tranche is expected Nov. 9.
Proceeds will be used toward the purchase price for the company's planned acquisition of the Bell Mountain property in Churchill County, Nev., to advance the work programs on Lincoln's other mineral projects and for general working capital purposes.
Based in Vancouver, B.C., Lincoln is a gold and silver exploration and development company.
| Issuer: | Lincoln Mining Corp.
|
| Issue: | Common stock, convertible debenture
|
| Amount: | C$4.6 million
|
| Warrants: | No
|
| Agent: | Non-brokered
|
| Investor: | Procon Mining & Tunnelling Ltd.
|
| Pricing date: | Sept. 5
|
| Settlement date: | Sept. 13 (for C$1.2 million), Nov. 9
|
| Stock symbol: | TSX Venture: LMG
|
| Stock price: | C$0.05 at close Sept. 4
|
| Market capitalization: | C$4.87 million
|
|
|
| Shares
|
| Amount: | C$2.3 million
|
| Shares: | 46 million
|
| Price: | C$0.05
|
|
|
| Debenture
|
| Amount: | C$2.3 million
|
| Maturity: | Three years
|
| Coupon: | 6%
|
| Conversion price: | C$0.10
|
| Conversion ratio: | Into 23 million shares
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
