This increase actually provides CYD with $9,012,550 addition to its treasury. A sign that interest and evaluation of CYD is very positive!!
"CAYDEN RESOURCES INC. ANNOUNCES INCREASE OF PREVIOUSLY ANNOUNCED EQUITY FINANCING TO CAD$7.8 MILLION
Cayden Resources Inc. has amended the terms of its previously announced bought-deal offering of common shares of the company to increase the size of the offering to $7,837,000. Under the amended terms of the offering, a syndicate of underwriters, led by Beacon Securities Ltd. and including Canaccord Genuity Corp., has agreed to purchase, on a bought-deal basis pursuant to the filing of a short form prospectus, a total of 4.61 million common shares at a price of $1.70 per common share.
The company has agreed to grant the underwriters an overallotment option to purchase up to an additional 691,500 common shares at the offering price, exercisable in whole or in part, at any time on or prior to the date that is 30 days following the closing of the offering. If this option is exercised in full, an additional $1,175,550 will be raised pursuant to the offering and the total gross proceeds of the offering will be $9,012,550.
The underwriters will receive a cash commission of 7 per cent of the gross proceeds raised, and common share purchase warrants entitling the underwriters to purchase within 24 months after closing of the offering, common shares of the company equal to 3 per cent of the total number of securities sold pursuant to the offering at the offering price per common share.
The company intends to use the net proceeds from the offering for exploration and development of its mineral interests in Mexico, and for general corporate and working capital purposes.
The common shares will be offered by way of a short form prospectus to be filed in all of the provinces of Canada (excluding Quebec). Closing of the offering is anticipated to occur on or before April 1, 2014, and is subject to certain conditions including, but not limited to the receipt of applicable regulatory approvals, including approval of the TSX Venture Exchange."