Company offers two types of unit with five-year, C$0.10 warrants
By Devika Patel
Knoxville, Tenn., Oct. 10 - Oremex Silver Inc. said it settled the debenture units portion of a C$1.48 million non-brokered private placement of units and debenture units on Oct. 9, raising C$727,500. The deal priced for C$1.5 million Sept. 7, and the units portion settled on Oct. 2 for C$750,000.
The company sold 13,636,364 units consisting of one common share and one warrant at C$0.055 per unit in the first tranche.
Oremex also sold 72.75 debenture units in the second tranche. The debenture units, priced at C$10,000 apiece, each consist of C$10,000 of convertible debentures and 100,000 warrants. The 16% debentures will mature in five years and are convertible into common shares at C$0.10 per share, an 11.11% premium to the Sept. 6 closing share price of C$0.09.
Each warrant is exercisable at C$0.10 for five years. The strike price is also an 11.11% premium to the Sept. 6 closing price.
Based in Toronto, Oremex explores for silver.
Issuer: | Oremex Silver Inc.
|
Issue: | Units of one common share and one warrant, debenture units of C$10,000 of convertible debentures and 100,000 warrants
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Amount: | C$1,477,500
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Warrant expiration: | Five years
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Warrant strike price: | C$0.10
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Agents: | Non-brokered
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Pricing date: | Sept. 7
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Stock symbol: | TSX Venture: OAG
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Stock price: | C$0.09 at close Sept. 6
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Market capitalization: | C$9.38 million
|
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Units
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Amount: | C$750,000
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Units: | 13,636,364
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Price: | C$0.055
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Warrants: | One warrant per unit
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Settlement date: | Oct. 2
|
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Debenture units
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Amount: | C$727,500
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Units: | 72.75
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Price: | C$10,000
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Maturity: | Five years
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Coupon: | 16%
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Conversion price: | C$0.10
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Warrants: | 100,000 warrants per unit
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Settlement date: | Oct. 9
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