RE: JFI & CCU
TORONTO - Constellation Copper Corp.'s beaten-down stock (TSX:CCU) doubled Thursday - to six cents - on word that Jaguar Financial Inc. (TSX:JFI) and an unidentified 'large international mining partner' have bought 9.9 per cent of the company. Constellation shares, worth $1.50 a year ago, gained three cents with more than 14 million traded Thursday after the company confirmed Wednesday evening that Jaguar and its partner made a restructuring proposal on April 17. Constellation, which is in default on $69 million in convertible debentures and whose future as a going concern is in doubt, added that it 'continues to solicit and evaluate various financing opportunities.' The company, headquartered in Colorado but listed on the Toronto Stock Exchange, lost $18.8 million in the first quarter. It owns the Lisbon Valley mine in Utah and two projects in Mexico. Jaguar, a Toronto merchant bank headed by Northern Financial Corp. (TSX:NFC) chairman-CEO Vic Alboini, said its restructuring proposal included a $10-million equity investment and a restructuring of Constellation's debentures and hedging liabilities. Following Thursday's stock jump, Constellation had a market value of just over $10.6 million.