Champion seeks C$12.19 million; Benitec to issue convertibles; AgriMarine lifts unit placement

By Stephanie N. Rotondo

Portland, Ore., April 12 - Mineral and resource companies entered Monday's PIPE market in full force, bringing the majority of the day's deals.

Champion Minerals Inc. announced a private placement of units for proceeds of more than C$12 million. The company could raise up to C$15 million if its over-allotment option is fully exercised.

Meanwhile, Benitec Ltd. said it had entered into an agreement with a California-based investor to sell convertible notes. The investor will purchase four of the notes for total proceeds of $6 million.

AgriMarine Holdings Inc. increased the size of a previously announced private placement of units. The company is now seeking C$5 million.

Also, Sagres Energy Inc. wrapped a C$5 million private placement of subscription receipts, the company said in a press release. In addition to the financing, the company also said it had completed a planned merger.

Adriana Resources Inc. will sell units and equity in its effort to raise C$4 million. The units portion of the financing includes a C$1 million greenshoe.

Champion seeks C$12.19 million

Champion Minerals intends to sell units in a private placement for proceeds of C$12.19 million, according to a press release.

The underwritten financing also includes a C$3 million greenshoe.

The Toronto-based company will sell 10.6 million units at C$1.15 each. The units will contain one common share and one half-share warrant.

Whole warrants are exercisable at C$1.50 for two years.

Jorge Estepa, Champion's vice president, told Prospect News that the company was pleased with the negotiated terms and that the deal was "quite an acknowledgement" of the company's exploration plan.

The proceeds from the deal will be used for exploration and development of the Fermont Iron Property, as well as for general corporate purposes. Settlement is expected by April 30.

Champion's stock (TSX Venture: CHM) dropped 10 cents, or 5.60%, to C$1.18. Market capitalization is C$33.7 million.

Benitec to issue convertible notes

Benitec, an Australian biotechnology company, has secured La Jolla Cove Investors Inc. as an investor in a $6 million private placement of convertible notes.

Benitec will sell four of the two-year 4.75% notes to the investor. Each note will be issued at $1.5 million.

The notes are convertible into ordinary shares at the lesser of A$0.15 per share or a 20% discount to the value weighted average price calculated at conversion. There is a floor price of A$0.04 per share.

Interest is payable monthly on the outstanding funded and non-converted principal balance.

"The inflow of funds will allow the company to execute its business plan," remarked Mel Bridges, executive director, in a press release. "Benitec is now in a solid position going forward to build on its strong intellectual property position and expand its growing research and development pipeline."

Benitec's shares (Australia: BLT) closed at A$0.046.

AgriMarine increases unit sale

AgriMarine Holdings lifted a previously announced private placement of units to C$5 million from C$3 million.

The deal originally priced April 1. The increase was due to strong demand, the company said in a press release.

AgriMarine will sell 25 million units at C$0.20 per unit. The units will consist of one common share and one half-share warrant. Whole warrants are exercisable at C$0.30 for two years.

Proceeds will be used for working capital and general corporate purposes.

AgriMarine's equity (TSX Venture: FSH) slipped 2 cents, or 7.41%, to C$0.25. Market capitalization is C$7.43 million.

AgriMarine Holdings is a Vancouver, B.C.-based developer of technologies used in the fish hatchery business.

Sagres completes financing, merger

Sagres Energy wrapped a C$5 million private placement of subscription receipts, the company announced.

The Calgary, Alta.-based oil and gas exploration company sold approximately 14.28 million of the receipts at C$0.35. Each receipt is automatically convertible into common shares on a 1 for 1 basis.

Additionally, Sagres announced it had completed its merger with Coral Sea Resources Inc.

Proceeds from the financing will be used for exploration and general corporate purposes.

Calls seeking further comment were not returned Monday.

Sagres' stock (TSX Venture: CSX) gained 6½ cents, or 18.31%, to C$0.42. Market capitalization is C$493,330.

Adriana to sell units, stock

Adriana Resources is seeking C$4 million from a private placement of units and equity.

The company will sell 5 million units at C$0.40 each, for proceeds of C$2 million. The units will include one common share and one half-share warrant. Whole warrants are exercisable at C$0.50 for two years.

The unit sale also includes a C$1 million greenshoe.

And, Adriana also intends to sell approximately 4.25 million flow-through shares at C$0.47 each, for proceeds of C$2 million.

The flow-through funding will be used to advance and upgrade mineral resources at the Lac Otelnuk Property. The unit proceeds will be used for general corporate purposes.

Calls seeking further comment were not returned Monday.

Adriana's shares (TSX Venture: ADI) dipped 2 cents, or 4.65%, to C$0.41. Market capitalization is C$31.9 million.

Adriana Resources is a Vancouver, B.C.-based mineral exploration and development company.

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