Skins obtains $2 million credit line; ViaLogy to raise £1.59 million; Puget plans C$2.08 million

By Stephanie N. Rotondo

Portland, Ore., April 2 - Skins Inc. arranged a $2 million equity line of credit, according to an 8-K filed with the Securities and Exchange Commission on Thursday.

In an interview with Prospect News, the footwear maker's top executive said he was happy with the terms of the deal, which do not preclude the company from securing other financing in the near term.

ViaLogy plc is planning a private placement of stock, according to a press release. The Gifford, Scotland-based company is aiming to raise £1.59 million in the deal.

Puget Ventures Inc. is looking to raise more than C$2 million through a sale of stock and units. Funds from the transaction will be used to acquire the Werner Lake Mineral Belt Property in Ontario.

Skins obtains credit line

Wholesale footwear company Skins has negotiated a $2 million equity line of credit, according to a regulatory filing.

The credit line, arranged with Tangiers Investors LP, settled on Wednesday.

Under the terms of the deal, Tangiers will purchase up to $2 million of Skins' common stock at 90% of the lowest weighted average price for the five days immediately following the drawdown notice date. The credit line expires in 18 months.

Additionally, Tangiers received an $85,000 convertible debenture. The debt carries a conversion price equal to 75% of the three lowest volume weighted average trading prices during the five days prior to conversion. Interest, payable at maturity, will be paid in cash or shares.

Mark Klein, Skins' chief executive officer, told Prospect News that the company was "absolutely" satisfied with the terms of the deal.

"We were very adamant about making sure there were certain measures in place in this financing," he said. "Most people look at an equity line as a potential spiral."

Given such, Klein said he "wanted to put checks and balances in place."

Basically, "if they don't give us the money when we ask for it, we can dissolve the agreement," he said.

Also, he said that the company is not precluded from obtaining other forms of financing, though it is prohibited from securing lines of credit with other parties.

"Which is fine with me," he noted.

"Over the next two to three months, we are going to have better opportunities to raise additional capital at better terms," he added.

Klein said the proceeds from the deal would be used for working capital "to get us to that point of sustainability."

Skins' stock (OTCBB: SKNN) dipped a penny, or 10%, to $0.09. Market capitalization is $5.56 million.

ViaLogy to raise £1.59 million

ViaLogy is looking to raise up to £1.59 million through a private placement of stock, the company said in a press release.

Also, the company said that it was reducing the strike prices of warrants issued in 2007 and 2008. After those warrants are exercised, ViaLogy will determine the price-per-share of its private stock offering.

Warrants issued in October 2007 were reduced to 2.5p per share from 10p per share until April 30. Warrants issued in October 2008 were reduced to 2p from 5p, also until April 30.

The company reduced the exercise price of warrants held by certain company directors to 2p until April 30.

"The board decided to re-price the warrants in conjunction with the subscription for two main reasons," said ViaLogy chairman Terry Bond in the press release. "Firstly, shareholder dilution is minimized because the warrants are already accounted for in the company's fully diluted financial position. Secondly, ViaLogy needs additional funding for future on-going expenditure, including the opportunity to increase our financial participation in the successful well our QuantumRD technology has identified on the Galba Oil Prospect in south central Texas. Atascosa Exploration LLC, who commissioned us to analyze the seismic data and advise on drilling locations, were so pleased with the results that they offered us very attractive terms to double ViaLogy's working interest in the first well production to 10%. The re-pricing of the warrants seemed a very elegant solution to our funding requirements whilst minimizing any dilution effect."

ViaLogy's stock (London: VIY) closed at 3.62p.

Based in Gifford, Scotland, ViaLogy is a technology company.

Puget plans units, stock sales

Puget Ventures will sell units and stock to raise C$2.08 million, the company announced.

The Vancouver, B.C.-based company will issue 4.5 million units containing one common share and one half-share warrant at C$0.35 per unit for total proceeds of C$1.58 million. Each whole warrant is exercisable at C$0.50 for 18 months.

Puget will also issue 1.25 million flow-through shares at C$0.40 for total proceeds of C$500,000.

Funds from the financing will go toward the company's acquisition of the Werner Lake Mineral Belt Property from Commerce Capital Inc.

Located in the Kenora Mining Division in Ontario, the property has historically produced cobalt, copper and gold. The merger agreement also gives Puget an option to acquire two unpatented claims known as the Riives Option.

The deal is valued at C$1 million. Commerce Capital is entitled to 2% net smelter return on all production form the property, except for those under the Riives Option.

"Puget Ventures is very pleased to make this acquisition in the Werner Lake Belt," said Erin Airton, president of Puget. "The combination of two advanced stage Copper-Cobalt deposits, as well as numerous other earlier-stage showings will allow Puget to emerge as a key base metals player in northern Ontario.

"Puget feels the Werner Lake Belt, which includes the Norpax Nickel-Copper acquisition announced yesterday by Puget, and the option onto the Werner Lake East assets with Benton Resources announced last fall, provides an excellent opportunity for Puget shareholders to be part of the pre-development Werner Lake West assets, as well as significant copper, and copper-cobalt exploration targets."

Puget's equity (TSX Venture: PVS) fell 4 cents, or 9.09%, to C$0.40.

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