Brigus Arranges $10-million Private Placement
Brigus Arranges $10-million Private Placement
2012-10-11 16:36 ET - News Release
Ms. Jennifer Nicholson reports
BRIGUS GOLD CORP. ANNOUNCES BOUGHT DEAL PRIVATE PLACEMENT OF FLOW-THROUGH SHARES
Brigus Gold Corp. has entered into an agreement with a syndicate of underwriters led by Cormark Securities Inc. and including Haywood Securities Inc., Fraser Mackenzie Ltd., Primary Capital Inc. and Casimir Capital Ltd., pursuant to which the underwriters have agreed to act in connection with the offer and sale of 8,264,500 flow-through shares of Brigus on a private placement basis. The flow-through shares shall be offered at a price of $1.21 per share for aggregate gross proceeds of approximately $10.0-million.
The closing of the offering is expected to occur on or about Nov. 1, 2012, and is subject to the completion of formal documentation and receipt of regulatory approval, including the approval of the Toronto Stock Exchange.
The proceeds received by the company from the sale of the flow-through shares will be used to incur Canadian exploration expenditures that are flow-through mining expenditures (as such terms are defined in the Income Tax Act (Canada)) on the corporation's properties in the province of Ontario, which will be renounced to the subscribers with an effective date no later than Dec. 31, 2012, in the aggregate amount of not less than the total amount of the gross proceeds raised from the issue of flow-through shares. The funds are intended to be used to explore areas within the Black Fox complex in the Timmins gold district of Ontario, Canada.
We seek Safe Harbor.