Pure Gold Mining (PGM-V) June 8, '16 is pleased to announce that it has closed the bought-deal private placement previously announced on May 25, 2016.
Pursuant to the Offering, the Company issued a total of 8,334,000 flow-through common shares (the "Flow-Through Shares") at a price of C$0.75 per Flow-Through Share for aggregate gross proceeds of C$6,250,500. This included the exercise in full of the Underwriters' Option of 1,667,000 Flow-Through Shares at a price of C$0.75 per Flow-Through Share.
The Offering was completed through a syndicate of underwriters led by Macquarie Capital Markets Canada Ltd. and included National Bank Financial Inc., Canaccord Genuity Corp., Beacon Securities Limited, Raymond James Ltd. and Haywood Securities Inc. (together the "Underwriters"). In connection with the Offering, the Company paid the Underwriters a cash commission equal to 6.0% of the gross proceeds of the Offering.
The proceeds raised from the sale of the Flow-Through Shares will be used by the Company to fund surface exploration in the Province of Ontario that will qualify as "Canadian exploration expenses" and "flow-through mining expenditures" for purposes of the Income Tax Act (Canada) and as "eligible Ontario exploration expenditures" within the meaning of the Taxation Act, 2007 (Ontario). The Flow-Through Shares are subject to a hold period in Canada expiring on October 9, 2016.
This news release is not an offer to sell or the solicitation of an offer to buy the securities, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to qualification or registration under the securities laws of such jurisdiction. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), and such securities may not be offered or sold within the United States or to a U.S. person absent registration or an applicable exemption from U.S. registration requirements. "United States" and "U.S. person" have the respective meanings assigned in Regulation S under the U.S. Securities Act.
ABOUT PURE GOLD
Our mandate is pure and simple. To dream big. To colour outside the lines. To use smart science and creativity to unlock the next multi-million-ounce gold discovery at the Madsen Gold Project in Red Lake, Ontario. And become Canada's next iconic gold company.
Additional information about the Company and its activities may be found on the Company's website at www.puregoldmining.ca and under the Company's profile at www.sedar.com.
ON BEHALF OF THE BOARD
Darin Labrenz, President & CEO
Investor inquiries:
Pure Gold Mining Inc.
604-646-8000
info@puregoldmining.ca
www.puregoldmining.ca |
