Oh so well planned ...
Sandstorm Gold Announces CDN $75 Million Bought Deal Financing
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VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 22, 2012) -
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES.
Sandstorm Gold Ltd. ("Sandstorm" or the "Company") (TSX VENTURE:SSL)(NYSE MKT:SAND)(NYSE Amex:SAND) is pleased to announce that it has entered into an agreement with a syndicate of underwriters pursuant to which they have agreed to purchase, on a bought deal basis, 7,500,000 units (the "Units") at a price of Cdn $10.00 per unit for gross proceeds to the Company of approximately Cdn $75 million (the "Offering"). The Offering will be conducted through a syndicate of underwriters led by Cormark Securities Inc. and including National Bank Financial Inc., Paradigm Capital Inc., BMO Capital Markets, Casimir Capital Ltd., Canaccord Genuity Corp. and TD Securities Inc. In addition, the Company has agreed to grant to the underwriters an option to purchase up to an additional 15% of the number of Units sold under the Offering at a price of Cdn $10.00 per Unit, on the same terms and conditions as the Offering, exercisable at any time, in whole or in part, until the date that is 30 days following the closing of the Offering. In the event that the option is exercised in its entirety, the aggregate gross proceeds of the Offering to Sandstorm will be approximately Cdn $86.25 million. Each Unit will consist of one common share of Sandstorm (each, a "Common Share") and one third of one common share purchase warrant (each whole common share purchase warrant, a "Warrant"). Each Warrant will entitle the holder to acquire one common share of Sandstorm at a price of US$14.00 at any time prior to the date which is five years following completion of the Offering.
Sandstorm plans to use the net proceeds of the Offering primarily for gold stream acquisitions and for general corporate and working capital purposes.
The Common Shares comprising the Units to be issued under the Offering will be offered by way of a short form prospectus in all of the provinces of Canada, other than the Province of Quebec.
The Offering is scheduled to close on or about September 13, 2012 and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals including the approval of the TSX Venture Exchange and the securities regulatory authorities.
The securities offered have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act") or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, United States persons absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. |
