Brokered deal to finance exploration, lease construction and drilling
By Devika Patel
Knoxville, Tenn., Nov. 28 - Blackbird Energy Inc. said it raised C$1.02 million in the initial tranche of a C$6 million private placement of units and stock that priced Nov. 8. Lead agent PI Financial Corp. is conducting the deal on commercially reasonable best-efforts basis.
The company is selling 20 million flow-through shares at C$0.20 per share and 10 million units of one common share and a warrant at C$0.20 per unit. It sold 3,357,500 shares and 1.73 million units in the first tranche.
The warrants are each exercisable at C$0.30 until Nov. 25, 2013. The strike price is a 50% premium to the Nov. 7 closing share price of C$0.20. The price per flow-through share and unit is identical to that price.
Proceeds will be used for exploration and applied to the company's project with Donnybrook Energy Inc. for the lease construction and drilling of the next Montney well at Bigstone.
Based in Vancouver, B.C., Blackbird explores for oil and gas.
| Issuer: | Blackbird Energy Inc.
|
| Issue: | Flow-through shares, units of one common share and a warrant
|
| Amount: | C$6 million
|
| Price: | C$0.20
|
| Agent: | PI Financial Corp. (lead)
|
| Pricing date: | Nov. 8
|
| Settlement date: | Nov. 28 (for C$1,017,500)
|
| Stock symbol: | TSX Venture: BBI
|
| Stock price: | C$0.20 at close Nov. 7
|
| Market capitalization: | C$10.3 million
|
|
|
| Flow-through shares
|
| Amount: | C$4 million
|
| Shares: | 20 million
|
| Warrants: | No
|
|
|
| Units
|
| Amount: | C$2 million
|
| Units: | 10 million
|
| Warrants: | One warrant per unit
|
| Warrant expiration: | Nov. 25, 2013
|
| Warrant strike price: | C$0.30
|
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