Euro Pacific is lead agent; offering funds general corporate purposes
By Devika Patel
Knoxville, Tenn., June 18 – Argex Titanium Inc. said it has negotiated a C$7.5 million private placement of convertible unsecured debentures.
The 7,500 convertible debentures mature on June 30, 2019. The debenture may be converted into common shares at C$1.14 per share, a 35.71% premium to the June 17 closing share price of C$0.84. The conversion rate is about 877 common shares per C$1,000 of debentures.
The deal will be conducted by lead agent and bookrunner Euro Pacific Canada Inc.
Settlement is expected June 26.
Proceeds will be used for the due diligence costs associated with the company’s industrial-sized commercial production facility and general working capital purposes.
“As our shareholders are aware, we are in the process of arranging financing for our first industrial-sized commercial production facility to be located in Valleyfield, Quebec, where significant technical, legal and financial due diligence costs will be incurred” president and chief executive officer Roy Bonnell said in a press release.
“The completion of the private placement provides Argex the financial flexibility required in order to pursue the financing of this project in an efficient and timely manner.”
The Montreal company produces titanium dioxide, iron and vanadium pentoxide.
| Issuer: | Argex Titanium Inc.
|
| Issue: | Convertible unsecured debentures
|
| Amount: | C$7.5 million
|
| Debentures: | 7,500
|
| Price: | C$1,000
|
| Maturity: | June 30, 2019
|
| Coupon: | 8%
|
| Conversion price: | C$1.14
|
| Conversion premium: | 39.54%
|
| Conversion ratio: | About 877 shares per C$1,000 of debentures
|
| Warrants: | No
|
| Agent: | Euro Pacific Canada Inc. (lead)
|
| Pricing date: | June 18
|
| Settlement date: | June 26
|
| Stock symbol: | Toronto: RGX
|
| Stock price: | C$0.84 at close June 17
|
| Market capitalization: | C$113.17 million
|
|
|
© 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.
