Cayden Resources (CYD-V)
www.caydenresources.com
41.4 million s/o
Over subscript private placement at $1 closed $5.1 million cash.
Vancouver, British Columbia – August 16th, 2012 – Cayden Resources Inc. (TSX.V: CYD) (“Cayden” or the “Company”) is pleased to announce that it has increased the non-brokered financing announced on August 8th from $4,200,000 to $5,095,000 as a result of the increased demand. The non-brokered private placement is now complete, gross proceeds of CAD$5,095,000 were raised by issuing 5,095,000 units (the “Units”) of the Company at a price of CAD$1.00 per Unit (the “Offering”). Each Unit consists of one common share plus one half of one common share purchase warrant with each whole purchase warrant exercisable into a common share at a price of $1.50 for a period of 24 months from closing (the “Warrant”). The common shares and the common share purchase warrants are subject to a four month hold period expiring December 17, 2012.
The Company paid a commission of 6% in cash and 10% in Finder’s Warrants on the gross proceeds of certain placements within the Offering. Each Finder’s Warrant is a non­-transferable common share purchase warrant exercisable into a common share at a price of $1.50 for a period of 24 months from closing. Total commissions on the Offering include the payment of $241,000 and the issuance of 265,000 Broker Warrants.
The net proceeds of the financing will be used to advance exploration programs on the Company’s Morelos Sur and El Barqueño gold projects in Mexico as well cover general and administrative expenses.
Cayden’s President and CEO Ivan Bebek commented, "We appreciate the support of our investors, welcome new investors and thank Sprott Global Resources Investments Ltd., and Euro Pacific Canada Inc. for their assistance in raising the funds. We anticipate the next 8 months to be very exciting as we continue to drill the Morelos Sur property and commence further exploration including the initiation of drilling on our El Barquenos property."
On Behalf of the Board,
Ivan Bebek, President and CEO
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