Oversubscribed offering was expected to settle on Tuesday, company says
By Devika Patel
Knoxville, Tenn., Jan. 18 - Oro Mining Ltd. said its private placement of units has been oversubscribed by 20%. The deal priced for C$10 million on Dec. 10 and was amended on Jan. 11. The company will now raise C$12 million. Casimir Capital LP is the lead agent for the deal, and Raymond James Ltd. also is assisting.
Oro will now sell 34,285,714 units at C$0.35 per unit. The units, originally priced at C$0.40 apiece, consist of one common share and one half-share warrant and are being sold on a reasonable efforts basis.
The whole warrants are exercisable at C$0.50 for two years. The strike price represents a 30.21% premium to the Dec. 9 closing share price of C$0.37.
Settlement was expected to occur Jan. 18.
Proceeds will be used to advance the Trinidad and El Compas properties toward pre-feasibility study level and for working capital and general corporate purposes.
The Vancouver, B.C., company is focused on expanding its gold resource base, moving toward production at its advanced projects and continuing to make exploration discoveries.
| Issuer: | Oro Mining Ltd.
|
| Issue: | Units of one common share and one half-share warrant
|
| Amount: | C$12 million
|
| Units: | 34,285,714
|
| Price: | C$0.35
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$0.50
|
| Agents: | Casimir Capital LP (lead), Raymond James Ltd.
|
| Pricing date: | Dec. 10
|
| Revised: | Jan. 11
|
| Upsized: | Jan. 18
|
| Settlement date: | Jan. 18
|
| Stock symbol: | TSX Venture: OGR
|
| Stock price: | C$0.37 at close Dec. 10
|
| Market capitalization: | C$30.01 million
|
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