Gran Colombia Increases Financing to $14.47-Million 2014-02-28 09:26 AT - News Release
Mr. Roy MacDonald reports
GRAN COLOMBIA HAS ENTERED INTO AN AMENDED AND RESTATED UNDERWRITING AGREEMENT INCREASING ITS OFFERING TO 7.5 MILLION UNITS
Gran Colombia Gold Corp. has signed an amended and restated underwriting agreement with GMP Securities LP increasing the size of its previously announced offering to 7.5 million units at a price per unit of $1.93 for aggregate gross proceeds to the company of $14,475,000.
As stated in the Company's press release dated February 26, 2014, each Unit will consist of one common share in the capital of the Company (each, a "Common Share") and one-half of one Common Share purchase warrant (each whole Common Share purchase warrant, a "Warrant"). Each Warrant will entitle the holder thereof to purchase one Common Share at a price of C$3.25. The Warrants will expire five years following the closing of the Offering (the "Closing Date") and will be subject to an accelerated expiration date in certain circumstances, as more particularly described in the Company's amended and restated preliminary short form prospectus to be filed on SEDAR on February 28, 2014 (the "Amended Prospectus").
The Underwriter will also have the option to purchase from the Company additional Units up to a number equal to 15 percent of the Units issued under the Offering, exercisable for additional Common Shares and/or Warrants, in any combination, on the same terms and conditions at any time and from time to time up to 30 days from and including the Closing Date to cover over-allotments, if any, and for market stabilization purposes.
The closing of the Offering is subject to certain conditions including, but not limited to, receipt of all necessary regulatory and stock exchange approvals including the receipt of listing approval by the Toronto Stock Exchange.
The Closing Date will take place in March 2014, or such other date agreed upon by the Company and the Underwriter. For more information, potential investors should read the Amended Prospectus, together with the documents incorporated by reference therein, including the risk factors. A copy of the Amended Prospectus will be available on the SEDAR website at www.sedar.com.
We seek Safe Harbor.
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