Wolfden Resources arranges $3.45-million financing
Wolfden Resources Inc
YWO
Shares issued 15,261,921
Jul 29 2002 close $ 1.11
Monday July 29 2002
News Release
Mr. Ewan Downie reports
WOLFDEN TO COMPLETE PRIVATE PLACEMENT
Wolfden Resources has engaged Canaccord Capital Corporation, Dundee
Securities Corporation, Griffiths McBurney and Partners, and Haywood
Securities, to act as agents for a private placement of special warrants of Wolfden
to raise proceeds of up to approximately $3.45-million. The private placement is
subject to the receipt of all required regulatory approvals.
Wolfden will issue up to approximately three million special warrants. The special
warrants will be issued in two classes. The first class of special warrants, Class E
special warrants, will be issued at a price of $1.15 per Class E special warrant,
with each Class E special warrant entitling the holder thereof to acquire, for no
additional consideration, one flow-through common share of Wolfden. The
second class of special warrants, Class F special warrants, will also be issued at a
price of $1.15 per Class F special warrant, with each Class F special warrant
entitling the holder thereof to acquire, for no additional consideration, one
common share of Wolfden.
The special warrants will be exercisable by the holders thereof at any time, and
will be automatically exercised at 5 p.m. (Toronto time) on the earlier of: (i) the
fifth day after the date of issue by the applicable securities regulatory authorities of
receipts for a prospectus qualifying the securities to be issued upon the exercise of
the special warrants; and (ii) the date which is 12 months from the date of closing
of the private placement. In the event that receipts for the prospectus have not
been issued on or before the date which is 90 days after the date of closing of the
private placement, each Class E special warrant will entitle the holder thereof to
acquire, for no additional consideration, 1.1 flow-through common shares of
Wolfden, and each Class F special warrant will entitle the holder thereof to
acquire, for no additional consideration, 1.1 common shares of Wolfden.
The agents will receive for their services a fee equal to seven per cent of the total
proceeds of the offering. In addition, the agents will be issued that number of
agent's special warrants as is equal to eight per cent of the number of special
warrants sold under the private placement. Each agent's special warrant will entitle
the holder thereof to acquire, for no additional consideration, one agent's warrant.
Each agent's warrant will entitle the holder thereof to acquire one common share
of Wolfden at a price of $1.15 during a period of 18 months following the closing
of the private placement.
The proceeds from the private placement will be used primarily to finance
exploration at Wolfden's High Lake property, and for general working capital.
WARNING: The company relies upon litigation protection for "forward-looking"
statements. |
