NuLoch to raise C$25 million; China North plans stock deal; India Globalization to sell equity

By Stephanie N. Rotondo

Portland, Ore., Sept. 16 - Wednesday's private placement market saw several double-digit deals coming to market, along with a fair few registered direct offerings.

NuLoch Resources Inc. announced a bought-deal financing for C$25.09 million. The company plans to sell both flow-through shares and units to raise the funds.

Meanwhile, China North East Petroleum Holdings Ltd. said it would pocket $18.4 million in a registered direct offering of stock. India Globalization Capital also brought a direct equity offering, for proceeds of about $2 million.

In the biopharmaceutical space, Helicos BioSciences Inc. said it would conduct a $10 million private placement of units. The company will sell the units to both existing and new investors, though at different terms.

Wolf Minerals Ltd. is aiming to raise A$4 million via a private placement of ordinary shares. Proceeds will be used for exploration and development.

NuLoch to raise C$25 million

NuLoch Resources announced a bought-deal private placement for proceeds of C$25.09 million.

The company will raise C$8.08 million by issuing 10.1 million flow-through shares at C$0.65. Proceeds from that portion of the financing will go toward drilling efforts at the company's Saskatchewan properties, according to R. Glenn Dawson, president and chief executive officer.

The remaining funds will come from the sale of 24,000 units. The units will include 118 common shares and 882 subscription receipts, each receipt equal to one common share. The units will sell at C$700.00 each.

The deal also includes a C$2.55 million greenshoe on the units. Proceeds raised from the unit sale will be used for exploration and development at NuLoch's recently acquired North Dakota assets, Dawson said.

Dawson noted that the deal would effectively double the company's market cap.

"I think that reflects the quality of the assets and the opportunities within the company," he said.

Settlement is expected by Oct. 6.

NuLoch's equity (TSX Venture: NLR.A) dropped 14 cents, or 15.73%, to C$0.75. Market capitalization is C$22.8 million.

NuLoch Resources is a Calgary, Alta.-based oil and natural gas company.

China North plans registered stock deal

China North East Petroleum will conduct an $18.4 million registered direct offering of stock, according to a press release.

The Harbin, China-based crude oil production company will issue 4 million common shares at $4.60 each. The deal also includes warrants equal to 800,000 shares. The warrants are exercisable at $6.00 for 30 months.

Proceeds will be used for future growth, as well as for general working capital purposes. Settlement is expected by Sept. 18.

China North's shares (Amex: NEP) fell $0.337, or 6.69%, to $4.698. Market capitalization is $98.4 million.

IGC announces direct equity sale

India Globalization Capital also announced a registered direct offering of equity Wednesday, for proceeds of approximately $1.99 million.

The company intends to sell approximately 1.59 million common shares at $1.25 per share. Three-year warrants, exercisable at $1.60, are also included.

Proceeds will be used, in part, to repay debt, the company said in a press release. Settlement is expected by Sept. 18.

India Globalization's stock (Amex: IGC) declined 9 cents, or 6.77%, to $1.24. Market capitalization is $12.8 million.

India Globalization Capital is a Bethesda, Md.-based investor in renewable energy concerns.

Helicos aims for $10 million

Helicos BioSciences brought a $10 million private placement of equity units to market.

The company will sell approximately 1.03 million units at $2.57 each to existing investors, while approximately 3.28 million units will be sold to new investors at $2.24 each.

Each unit sold to existing investors will contain one common share and a warrant for 0.662 shares. New investors will receive units with one common share and one half-share warrants.

The whole warrants are exercisable at $2.61 for 66 months.

Among the participating investors are Atlas Ventures, Flagship ventures, Highland Capital partners and Versant Ventures.

"We believe that raising this level of funds is appropriate given the recent demand for the Helicos Single Molecule Sequencing System while we consider our strategic alternatives," said Ron Lowy, CEO, in a statement.

Settlement is expected by Sept. 18.

Helicos' equity (Nasdaq: HLCS) slipped $0.2123, or 8.49%, to $2.2877. Market capitalization is $149 million.

Helicos Biosciences is a Cambridge, Mass.-based developer of instruments and reagents for the high-speed sequencing of DNA and RNA with the highest possible sensitivity.

Wolf to issue stock

Australian mineral exploration company Wolf Minerals said it was planning a A$4 million private placement of ordinary stock.

The company will sell approximately 9.75 million of the shares at A$0.42 to investors Traxys SARL and Resource Capital Funds.

The financing will come in two tranches, with the first including approximately 3.97 million shares. That tranche is expected to close within one week. The second tranche will include the remaining shares and will be completed once shareholder approval is secured.

"This is an exciting time for Wolf as it joins with strong strategic partners RCF and Traxys to bring Hemerdon tungsten and tin to the market," remarked Humphrey Hale, managing director, in a press release.

Wolf's equity (Australia: WLF) closed at A$0.53.

Wolf Minerals is based in Subiaco, Australia.

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