Company sells units of 8% four-year convertibles with two warrants
By Devika Patel
Knoxville, Tenn., May 5 - Olympus Pacific Minerals Inc. said it completed a C$15 million private placement of convertible unsecured redeemable notes. The deal was announced as a C$12 million offering on March 25 with an C$8 million greenshoe.
The 8% four-year notes will convert to common shares at C$0.50 per share. The conversion price is a 28.21% premium to the May 4 closing share price of C$0.39.
The notes were sold in 150 units, with each unit consisting of C$100,000 in notes and two warrants. Of the units, 30 were part of the partially exercised greenshoe.
The first four-year warrant is exercisable for 100,000 shares at C$0.55. The strike price reflects a 41.03% premium to the May 4 closing price. The second warrant is exercisable only if the company calls the note and will then be exercisable for 200,000 shares at C$0.50, a 28.21% premium to the May 4 price, until four years after settlement.
Euro Pacific Capital Inc. was the agent.
A similar private placement of units comprised of 8% unsecured and redeemable notes convertible at $0.51 per common share and including warrants exercisable at C$0.55, with expected gross proceeds of between $8 million and $15 million, is expected to close in mid-May.
Proceeds of both deals will be used for development, exploration and acquisition plans in Vietnam, Malaysia and the Philippines.
Toronto-based Olympus Pacific is a gold exploration company focused on properties in Vietnam and Southeast Asia.
| Issuer: | Olympus Pacific Minerals Inc.
|
| Issue: | Units of C$100,000 of convertible unsecured redeemable notes and two warrants
|
| Amount: | C$15 million (including C$3 million greenshoe)
|
| Units: | 150
|
| Price: | C$100,000
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| Warrants: | Two warrants per unit
|
| Warrant expiration: | Four years
|
| Warrant strike prices: | C$0.55, C$0.50
|
| Agent: | Euro Pacific Capital Inc.
|
| Announcement date: | March 25
|
| Settlement date: | May 5
|
| Stock symbol: | Toronto: OYM
|
| Stock price: | C$0.39 at close May 4
|
| Market capitalization: | C$142.94 million
|
|
|
| Notes
|
| Maturity: | Four years
|
| Coupon: | 8%
|
| Conversion price: | C$0.50
|
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