GREY:ATLDF - Post by User
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peteswimon Jul 21, 2011 2:23pm
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PP News
PP NewsAtlanta Gold Inc. to Complete $2.5 Million Private Placement7/21/2011 2:22 PM - CND
TORONTO, Jul 21, 2011, 2011 (Canada NewsWire via COMTEX News Network) --
/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES/
Atlanta Gold Inc. (TSXV: ATG; OTCQX: ATLDF) announces that it intends to complete a non-brokered private placement of up to 35,714,285 Units at a price of
.07 per Unit for gross proceeds of $2.5 million. Each Unit will consist of one common share and one warrant to purchase a common share of the Company at a price of
.11 per share for a period of 24 months from the closing of the offering. The Companywill have the right to accelerate the expiry date of the Warrants ifthe closingprice of the Company's common shares on theTSX Venture Exchange (the "TSXV") exceeds
.20 for 20 consecutive days on which the Company's shares trade. Proceeds from the offering will be used for exploration, development and permitting expenditures on the Company's Atlanta gold property located in Idaho, U.S.A. and for working capital purposes. Completion of the offering is subject to TSXV approval.
Certain insiders of the Company may participate in the offering. The Company will pay a finder's fee to registrants consisting of an 8% cash commission and 8% compensation options, with each compensation option entitling the holder to purchase one common share at a price of
.11 per share for one year. All securities issued under the offering will be subject to a four-month statutory hold period.