***************NEWSRELEASE********************************************
This is most likely why they are trying to maintain a price:
Special warrants
International Freegold Mineral Dev Inc ITF
Shares issued 15,921,092 Jun 16 close $0.58
Tue 17 Jun 97 Private Placement
The VSE has accepted for filing a brokered private placement of:
A maximum of up to 2,716,428 series A special warrants exchangeable for one
share and one half of one warrant to purchase an additional share at $0.95
for one year; and
One Barrick unit comprised of 1,071,428 series C special warrants (with the
same terms as the series A special warrants) and one series D special
warrant exchangeable for 1,200,000 share purchase warrants exercisable at
$1.25 until March 1 1998, 1,714,286 share purchase warrants exercisable at
$1.75 until March 1 1999, and 1,200,000 share purchase warrants exercisable
at $2.50 until March 1 2000.
The company has undertaken to file a prospectus to qualify the distribution
of the underlying securities. If a receipt for the final prospectus is not
issued within 120 days of closing, each series A and each series C special
warrant is convertible into 1.1 shares and 0.55 warrants to purchase an
additional 0.55 shares.
If a final receipt for the prospectus is not issued within 150 days of
closing, Barrick Gold Corp may elect to have its series C special warrants
repurchased for $675,000 plus interest accrued.
If Barrick is not satisfied with the status of the title of the Golden
Summit property within 90 days of closing then Barrick may elect to have
the series C and D special warrants repurchased.
Price: $0.70 per series A warrant and $750,000 Barrick unit
Placees
Series A: Barrick Gold Corp 1,071,428; International Canalaska
Resources 500,000; Union Bancaire Privee 350,000; and
four others
Series C: Barrick Gold Corp
Series D: Barrick Gold Corp
Agent: Marleau, Lemire Securities
Commission: 8.5% of the series A special warrants gross proceeds
(excluding the Barrick subscription) and series B
special warrants equal to 3% of the total number of
series A and C special warrant sold.
(c) Copyright 1997 Canjex Publishing Ltd. canada-stockwatch.com
With regards,Frank |
