By Laura Lutz
Washington, March 6 - Mega Uranium Ltd. settled private placement for C$35.178 million, including a fully exercised greenshoe.
The company sold 1.6 million flow-through shares at C$7.38 each and 3.8 million units of one share and one half-share warrant at C$6.15 per unit. Each whole warrant is exercisable at C$7.90 each for five years.
The units settled on Feb. 21, and the flow-through shares settled on March 6.
The deal priced on Feb. 6 as a C$30.627 million offering of 1.4 million flow-through shares and 3.3 million units with a greenshoe for 200,000 flow-through shares and 500,000 units.
The expiry of the warrants may be accelerated to 30 days if the company's stock trades above C$12.30 for more than 20 consecutive trading days any time four months after closing.
A deal was underwritten by a syndicate led by Westwind Partners Inc.
Proceeds from the flow-through shares will be used for Canadian exploration expenses and the proceeds from the units for the development of current projects and for working capital.
Toronto-based Mega is a uranium exploration company focused on properties in Australia, Argentina, Mongolia, Bolivia and Canada.
| Issuer: | Mega Uranium Ltd.
|
| Issue: | Flow-through shares and units of one share and one half-share warrant
|
| Amount: | C$35.178 million
|
| Underwriters: | Westwind Partners Inc. (lead)
|
| Pricing date: | Feb. 6
|
| Settlement date: | Feb. 21 for units; March 6 for flow-through shares
|
| Stock symbol: | Toronto: MGA
|
| Stock price: | C$6.14 at close Feb. 6
|
| Stock price: | C$5.58 at close March 6
|
|
|
| Flow-through shares
|
| Shares: | 1.6 million (includes greenshoe for 200,000 flow-through shares)
|
| Price: | C$7.38
|
| Warrants: | No
|
|
|
| Units
|
| Units: | 3.8 million (includes greenshoe for 500,000 units)
|
| Price: | C$6.15
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Five years
|
| Warrant strike price: | C$7.90
|
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