By Devika Patel
Knoxville, Tenn., Nov. 27 - Oromin Explorations Ltd. announced it has raised C$4.5 million in the second non-brokered tranche of an C$18 million private placement of units. The company raised C$13.5 million in the first tranche, which settled on Nov. 15, the announcement date.
In the latest tranche, the company sold 1.8 million units at C$2.50 per unit. It sold 5.4 million units at that price in the first tranche. In total, Oromin sold 7.2 million units.
Each unit consists of one share and one half-share warrant. Each whole warrant is exercisable at C$3.30 for two years.
The warrants may expire sooner if Oromin's shares close at C$5.00 or higher for 20 consecutive trading days. In that case, the warrants will expire on the 21st day after Oromin notifies holders.
The securities have a four-month hold period.
J.F. Mackie & Co. Ltd. was the agent for the first tranche and received an 8% commission of C$13.5 million and broker warrants to buy up to 540,000 shares at C$2.75 for two years.
Based in Vancouver, B.C., Oromin is an oil and natural gas exploration company.
| Issuer: | Oromin Explorations Ltd.
|
| Issue: | Units of one share and one half-share warrant
|
| Amount: | C$18 million
|
| Units: | 7.2 million
|
| Price: | C$2.50
|
| Warrants: | One half warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$3.30
|
| Announcement date: | Nov. 15
|
| Stock symbol: | TSX Venture: OLE
|
| Stock price: | C$2.80 at close Nov. 15
|
|
|
| First tranche
|
| Amount: | C$13.5 million
|
| Units: | 5.4 million
|
| Agent: | J.F. Mackie & Co. Ltd.
|
| Fees: | C$13.5 million and broker warrants to buy up to 540,000 shares
|
| Settlement date: | Nov. 15
|
|
|
| Second tranche
|
| Amount: | C$4.5 million
|
| Units: | 1.8 million
|
| Agent: | Non-brokered
|
| Settlement date: | Nov. 26
|
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