(All amounts expressed in Canadian dollars unless otherwise noted)
TORONTO, April 9, 2013 /CNW/ - Agnico-Eagle Mines Limited (NYSE: AEM) (TSX: AEM) ("Agnico") today announced that it has agreed to
subscribe for 26,966,292 units ("Units") of Sulliden Gold Corporation
Ltd. ("Sulliden") in a non-brokered private placement at a price of
$0.89 per Unit for total consideration of $24,000,000. Each Unit is
comprised of one common share of Sulliden (a "Common Share") and 0.7 of
one common share purchase warrant of Sulliden (each whole common share
purchase warrant, a "Warrant"). Each Warrant entitles the holder to
acquire one Common Share at a price of $1.31 for a period of two years
from the closing date. Closing of the private placement is expected to
occur on or about April 12, 2013.
On closing of the private placement, Agnico will hold 26,966,292 Common
Shares and 18,876,404 Warrants, representing 9.96% of the issued and
outstanding Common Shares on a non-diluted basis and 15.83% of the
Common Shares on a partially diluted basis. The agreement also
provides Agnico with a participation right pursuant to which, during
the two-year period from the closing date, and provided that Agnico at
the time continues to hold no less than five percent of the then issued
and outstanding Common Shares, Agnico has the right to participate in
certain future equity financings by Sulliden in order to maintain its
pro rata investment in Sulliden.
Agnico is acquiring the Units for investment purposes. Depending on
market conditions, Agnico may, from time to time, acquire additional
Common Shares or other securities of Sulliden or dispose of some or all
of the Common Shares or Warrants.
About Agnico
Agnico is a long established, Canadian headquartered, gold producer with
operations located in Canada, Finland and Mexico, and exploration and
development activities in Canada, Finland, Mexico and the United
States. Agnico has full exposure to higher gold prices consistent with
its policy of no forward gold sales. It has declared a cash dividend
for 31 consecutive years. www.agnico-eagle.com
Forward-Looking Statements
The information in this news release has been prepared as at April 9, 2013. Certain statements in this news release, referred to herein as
"forward-looking statements", constitute "forward-looking statements"
within the meaning of the United States Private Securities Litigation
Reform Act of 1995 and "forward-looking information" under the
provisions of Canadian provincial securities laws. These statements
can be identified by the use of words such as "expected", "may", "will"
or similar terms.
Forward-looking statements in this news release include, but are not
limited to: statements relating to the expected closing date of the
private placement; and Agnico's ownership of Common Shares and Warrants
following the closing date.
Forward-looking statements are necessarily based upon a number of
factors and assumptions that, while considered reasonable by Agnico as
of the date of such statements, are inherently subject to significant
business, economic and competitive uncertainties and contingencies.
Many factors, known and unknown, could cause actual results to be
materially different from those expressed or implied by such
forward-looking statements. Readers are cautioned not to place undue
reliance on these forward-looking statements, which speak only as of
the date made. Except as otherwise required by law, Agnico expressly
disclaims any obligation or undertaking to release publicly any updates
or revisions to any such statements to reflect any change in Agnico's
expectations or any change in events, conditions or circumstances on
which any such statement is based.
SOURCE: Agnico-Eagle Mines Limited
An early warning report will be filed by Agnico in accordance with applicable securities laws. To obtain a copy of the early warning report, please contact: