Nevada keeps oversubscribed deal small; Sify, Stealth, Petro, Sterling, CanAlaska sell stock-warrant units

By Kenneth Lim

Boston, April 14 - Nevada Copper Corp. said it deliberately kept its C$4.05 million capital-raising exercise to a "small" amount to minimize diluting existing stock.

Meanwhile, private placements were announced by Sify Technologies Ltd., Stealth Ventures Ltd., Petro Vista Energy Corp., Sterling Mining Co. and CanAlaska Uranium Ltd.

Nevada Copper deal oversubscribed

Nevada Copper said it is raising C$4.05 million from a private placement of stock-and-warrant units.

The company plans to sell 1.5 million units at C$2.70 apiece. Each unit consists of one common share and one half-share warrant. Each whole warrant is exercisable at C$3.20 for 18 months.

Nevada Copper stock (TSX: NCU) closed at C$2.65 on Monday, lower by 3.28%, or C$0.09.

The warrants may expire sooner if the company's common shares trade at C$4.00 or higher for 20 consecutive trading days. In that case, the warrants will expire 30 days after the company notifies holders.

Acumen Capital Finance Partners Ltd. is the underwriter and has a greenshoe of 500,000 units, or C$1.35 million.

Nevada Copper, a Vancouver, B.C.-based mining exploration company, said proceeds will be used to further advance the company's Pumpkin Hollow property and for general working capital.

"We've kept it small to minimize dilution," Nevada Copper president and chief executive officer Giulio T. Bonifacio told Prospect News. "We're going to use the proceeds to continue advancing our Pumpkin Hollow copper project ... it's a project that's had a wealth of drilling on it, and our intention is to continue drilling on it this year."

Pumpkin Hollow is slated for production in 2012, Bonifacio said.

Acumen approached Nevada Copper to initiate the deal, he said.

"There was a lot of interest to do a lot more, but we're not interested at this point in time," Bonifacio said. "The offer was three times oversubscribed, but we want to keep it on the smallish side. Acumen was the firm that came to us. ... They presented it to us on the weekend, and on the basis of keeping it on a small size we went ahead and did the deal."

Nevada Copper was not looking to raise capital at that time, Bonifacio said.

"Including this, we'll have about C$10 million, and we've got money coming in from other places, so I would say we're well funded for the next eight to nine months," he said. "Of course, as we move through certain stages and if there's a means to raise more capital as we need it, we might raise more."

Raising money through debt was not an option for Nevada Copper, Bonifacio said.

"Invariably in this space, and in this company ... putting debt in place without cash flow for four years isn't feasible," Bonifacio said. "We might raise debt closer to production, but we're not yet at that stage."

Bonifacio said he could not be completely satisfied with the pricing of the deal.

"In our view we're undervalued," he said. "I don't think you're ever satisfied. This is a stock that should be trading higher."

Sify director strengthens holdings

A Sify Technologies director strengthened his control over the company through a $57.16 million private stock placement.

Sify said it arranged to sell 12.82 million Indian equity shares at $4.46 per share to Infinity Satcom Universal Pte. Ltd. through a Regulation S placement. Sify's American Depository Shares (Nasdaq: SIFY) fell 5.95%, or $0.29, on Monday to close at $4.58.

Infinity Satcom is controlled by Sify executive director Ananda Raju Vegesna, who is also the brother of Sify managing director and CEO Raju Vegesna.

Sify Technologies is an integrated internet, network and electronic commerce services company that is based in Chennai, India.

Stealth to place C$20 million

Stealth Ventures said it plans to sell C$20 million of units through a private placement led by D&D Securities Co. and SMH Capital Inc.

The company plans to sell units of one common share and one half-share warrant at C$0.80 per unit. Each whole warrant is exercisable at C$1.00 for 18 months.

Stealth Ventures stock (TSX: SLV) gained 7.32%, or C$0.06, on Monday to close at C$0.88.

Stealth, a Calgary, Alta.-based oil and gas company, said it will use the proceeds to fund and accelerate ongoing development activities at its Colorado Group shale gas properties.

Petro Vista to raise C$9.18 million

Petro Vista Energy said it sold C$9.18 million of units through a non-brokered private placement.

The company sold 15.3 million units of one common share and one half-share warrant at C$0.60 apiece. Each whole warrant is exercisable at C$1.00 for two years.

Petro Vista common stock (TSX: PTV) closed unchanged at C$0.72 on Monday.

The warrants may expire sooner if the company's common shares close at C$1.35 or higher for 20 consecutive trading days.

Petro Vista Energy, a Vancouver, B.C.-based petroleum exploration company, said it will use the proceeds to fund an exploration and development program on its properties and for further acquisitions.

Sterling sells $5 million of units

Sterling Mining said it sold $5 million of stock-and-warrant units in a non-brokered private placement.

The sale involved 2.1 million units at $2.40 each. The units consist of one common share, one half-share A warrant and half-share B warrant. Each whole A warrant is exercisable at $3.40 for 18 months. Each whole B warrant is exercisable at $4.10 for three years.

Sterling common stock (OTCBB: SRLM) was $0.05, or 2%, higher on Monday at its close of $2.55.

Sterling, a Wallace, Idaho-based silver exploration company, said it will use the proceeds to buy underground diesel equipment, to accelerate exploration activities and for general working capital.

CanAlaska to raise C$4 million

CanAlaska Uranium is selling C$4 million worth of units in a non-brokered private placement.

Each unit will be sold at C$0.34 apiece. Each unit comprises one flow-through eligible common share and one half-share warrant. Each whole warrant is exercisable into one flow-through eligible common share or one common share at C$0.50 for two years.

CanAlaska common stock (TSX: CVV) closed at C$0.27 on Monday, lower by 6.9%, or C$0.02.

CanAlaska, a uranium exploration company based in Vancouver, B.C., said the proceeds will be used to continue exploration of its uranium exploration projects in Saskatchewan, Alberta and Manitoba.

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