C$5.04 million greenshoe fully exercised; proceeds fund development
By Devika Patel
Knoxville, Tenn., Feb. 24 - Macarthur Minerals Ltd. said it concluded a private placement of units. The deal priced for C$30.06 million with a C$6.01 million greenshoe on Feb. 9 and was increased to C$45 million with a C$5.04 million greenshoe on Feb. 10; the company raised C$50.04 million.
The company sold 13.9 million units of one common share and one half-share warrant at C$3.60 apiece. Each whole two-year warrant will be exercisable at C$4.50. The strike price reflects an 18.42% premium to the Feb. 8 closing share price of C$3.80.
The deal was conducted on a bought-deal basis via a syndicate of underwriters led by TD Securities Inc. and including Macquarie Capital Markets Canada Ltd. and Stifel Nicolaus Canada Inc.
Proceeds will be used for development of the company's Lake Giles project in Western Australia and for general corporate purposes.
Based in Vancouver, B.C., Macarthur explores for iron-ore, nickel sulphide mineralization and gold.
| Issuer: | Macarthur Minerals Ltd.
|
| Issue: | Units of one common share and one half-share warrant
|
| Amount: | C$50.04 million (including C$5.04 million greenshoe)
|
| Units: | 13.9 million
|
| Price: | C$3.60
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$4.50
|
| Agents: | TD Securities Inc. (lead), Macquarie Capital Markets Canada Ltd. and Stifel Nicolaus Canada Inc.
|
| Pricing date: | Feb. 9
|
| Upsized: | Feb. 10
|
| Settlement date: | Feb. 24
|
| Stock symbol: | TSX Venture: MMS
|
| Stock price: | C$3.74 at close Feb. 9
|
| Market capitalization: | C$104.37 million
|
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