NR-> Bought DealUr-Energy Inc. Announces CAD$30,000,000 Bought Deal Common Share Financing
2/7/2011 7:53 AM - PR Newswire
LITTLETON, CO, Feb 07, 2011 /PRNewswire via COMTEX News Network/ --
Ur-EnergyInc. (TSX:URE, NYSE Amex:URG) ("Ur-Energy" or the "Company") is pleasedto announce that it has entered into an agreement with a syndicate ofunderwriters (the "Underwriters"), pursuant to which the Underwritershave agreed to purchase, on a bought deal basis, pursuant to a shortform prospectus filed in certain provinces of Canada, 10,000,000 commonshares (the "Common Shares") of the Company at a price of CAD$3.00 perCommon Share for gross proceeds of CAD$30,000,000 (the "UnderwrittenOffering"). In addition, the Company will grant the Underwriters anoption to purchase additional Common Shares at the Offering price toraise additional gross proceeds of up to 15% of the Offering (the"Over-Allotment Option") exercisable for a period of up to 30 daysafter the closing date (the "Over-Allotment Option", and together withthe Underwritten Offering, the "Offering").
In connection with this Offering the Underwriters will receive a cash fee of 6% of the gross proceeds raised.
Theproceeds from the Offering are expected to be used by the Company tofinance development of its properties, possible acquisitions, and forgeneral working capital and corporate purposes.
Closing of theOffering is anticipated to occur on or before March 1, 2011 and issubject to certain conditions including, but not limited to, thecompletion of satisfactory due diligence by the Underwriters and thereceipt of applicable regulatory approvals including approval of theToronto Stock Exchange and the NYSE Amex.
This news release doesnot constitute an offer to sell or a solicitation of an offer to buynor shall there be any sale of any of the Common Shares in anyjurisdiction in which such offer, solicitation or sale would beunlawful. The Common Shares have not been and will not be registeredunder the United States Securities Act of 1933, as amended (the "U.S.Securities Act") or the securities laws of any state of the UnitedStates and may not be offered or sold within the United States or to,or for the account or benefit of, U.S. persons (as defined inRegulation S under the U.S. Securities Act) unless registered under theU.S. Securities Act and applicable state securities laws or pursuant toan exemption from such registration requirements.
AboutUr-Energy Ur-Energy is a junior uranium company currently completingmine planning and permitting activities to bring its Lost Creek Wyominguranium deposit into production. Permitting also will allow theconstruction of a two-million-pounds-per-year in situ uraniumprocessing facility. Engineering for the process facility is completeand mine planning is at an advanced stage for the first two mine units.Ur-Energy engages in the identification, acquisition and explorationof uranium properties in both Canada and the United States. Shares ofUr-Energy trade on the Toronto Stock Exchange under the symbol "URE"and on the NYSE Amex under the symbol "URG". Ur-Energy's corporateoffice is located in Littleton, Colorado; its registered office is inOttawa, Ontario. Ur-Energy's website is www.ur-energy.com.
Thisrelease may contain "forward-looking statements" within the meaning ofapplicable securities laws regarding events or conditions that mayoccur in the future, including statements regarding the anticipatedoffering and sale of the common shares, the anticipated closing date ofthe offering, the over-allotment option, the anticipated use ofproceeds, the approvals of the Toronto Stock Exchange and NYSE Amex andother regulatory approvals, anticipated completion of mine planning andpermitting activities and production, the anticipated construction andcapacity of an in situ uranium processing facility at Lost Creek.These statements are based on current expectations that, whileconsidered reasonable by management at this time, inherently involve anumber of significant business, economic and competitive risks,uncertainties and contingencies. Factors that could cause actualresults to differ materially from any forward-looking statementsinclude, but are not limited to, whether the proposed offering issuccessful, whether required approvals are received, disruptions in thefinancial markets, changes in the anticipated or actual use ofproceeds, capital and other costs varying significantly from estimates;failure to establish estimated resources and reserves; the grade andrecovery of ore which is mined varying from estimates; productionrates, methods and amounts varying from estimates; delays in obtainingor failures to obtain required governmental, environmental or otherproject approvals; inflation; changes in exchange rates; fluctuationsin commodity prices; delays in development, inability to obtainfinancing required to complete its projects on acceptable terms or atall and other factors. There can be no assurance that forward lookingstatements will prove to be accurate and actual results and futureevents could differ materially from those anticipated in suchstatements. Readers should not place undue reliance on forward-lookingstatements. The forward-looking statements contained herein are basedon the beliefs, expectations and opinions of management as of the datehereof and Ur-Energy disclaims any intent or obligation to update themor revise them to reflect any change in circumstances or inmanagement's beliefs, expectations or opinions that occur in thefuture, except as required by applicable securities laws. Additionalrisks relating to Ur-Energy may be found in the current and period icreports filed with Canadian securities regulatory authorities and theSEC by Ur-Energy.
SOURCE Ur-Energy Inc.
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