aurelian.ca
NOVEMBER 6, 2006 - 08:14 ET
Aurelian Resources Inc. Announces $75 Million Bought Deal Equity Financing
TORONTO, ONTARIO--(CCNMatthews - Nov. 6, 2006) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN
Aurelian Resources Inc. (the "Company")(TSX VENTURE:ARU) is pleased to announce that it has entered into an agreement with Sprott Securities Inc. ("Sprott") on behalf of a syndicate of underwriters consisting of Sprott, BMO Nesbitt Burns Inc., Canaccord Adams Inc., Dundee Securities Corporation, Westwind Partners Inc., Blackmont Capital Inc., and Primary Capital Inc., (collectively the "Underwriters") pursuant to which the Underwriters have agreed to purchase 2 million Common Shares of the Company on a bought deal private placement basis (the "Offering") at a price of $37.50 per share for gross proceeds of $75 million. The Underwriters shall be entitled to a cash commission equal to 5.0% of the gross proceeds of the Offering. As additional compensation the Company will issue to the Underwriters, at closing, broker warrants entitling the Underwriters to purchase, in the aggregate, such number of Common Shares as is equal to 2.5% of the number of Common Shares sold pursuant to the Offering, exercisable at the Offering price for a period of twelve months from the closing date.
The Offering is scheduled to close on or about November 22, 2006 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange. Pursuant to National Instrument 45-102, the Common Shares will be subject to a four month hold period in all of the Offering jurisdictions, commencing on the closing date.
The net proceeds of the Offering will be for continued exploration and development of the Condor Project and for general working capital purposes.
The securities described herein have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States unless registered under the Act or unless an exemption from registration is available. |
