Silver Wheaton to raise up to C$287,5mIs some of this earmarked for Shafter, I hope?
"TORONTO (miningweekly.com) – Vancouver-based Silver Wheaton hasentered an agreement with a syndicate of underwriters who will buy31,25-million shares in the company, at C$8,00 apiece, on a bought dealbasis.
The financing will raise C$250-million, but this couldincrease to around $287,5-million in the underwriters exercise anoption to buy another 4,68-million shares on the same terms.
Silver Wheaton buys silver from producers on a long-term basis, atpredetermined prices, and then sells the metal at the current spotprice.
The company plans to use the money to repay a revolvingdebt facility and for “general corporate purposes”, it said, althoughpresident and CEO Peter Barnes hinted that the firm could be building an acquisition arsenal.
Theshare sale “significantly de-leverages our balance sheet, and positionsour company to take advantage of some of the high-quality acquisitionopportunities that we expect to become available during 2009,” Barnessaid in a statement.
“Our focus going forward is to continue togrow the asset base in an accretive manner, by adding high qualitysilver streams from low-cost mines that are already in production."
The offering is scheduled to close on or about February 12."