-- Published: Tuesday, 9 February 2016 | Print | Disqus
Mr. Roy Sebag reports
GOLDMONEY ANNOUNCES INCREASE IN FINANCING TO $31,900,000
Goldmoney Inc. has entered into an agreement with a syndicate of underwriters led by GMP Securities LP and Clarus Securities Inc. and including Mackie Research Capital Corp. to increase the size of its previously announced financing of common shares of the company from aggregate gross proceeds of $15-million to $31,860,719. In connection with the expanded offering, the underwriters have agreed to purchase, on a bought deal basis, an additional 4,323,261 common shares of the company at a price of $3.90 per share, bringing the total number of shares to be issued to 8,169,415 shares. PowerOne Capital Markets Ltd. acted as financial adviser with respect to the offering.
The underwriters will also have the option exercisable, in whole or in part, to purchase that number of additional shares that is equal to 15 per cent of the additional shares sold pursuant to the offering to cover the underwriters' overallotment position. In the event that the option is exercised in its entirety, the aggregate gross proceeds will increase from $17.25-million to $36,639,829.
It is expected that the shares will be offered to accredited investors in all of the provinces of Canada (other than Quebec) pursuant to National Instrument 45-106 -- prospectus exempt distributions and in the United States on a private placement basis pursuant to exemption from the registration requirements of the United States Securities Act of 1933, as amended. The shares will be subject to a four-month hold period in Canada.
The expanded offering is expected to close on or about Feb. 24, 2016. Closing of the expanded offering would be subject to certain conditions typical for a transaction of this nature and the receipt of all necessary regulatory approvals, including the approval of the TSX Venture Exchange.
"Goldmoney welcomes this offer of strategic-institutional funding and the capital entrusted to us by some of the world's top investment managers," said Roy Sebag, chief executive officer of Goldmoney. "Upon closing of this placement, the company will hold over $50-million in cash, liquid investments and callable-warrant funding available. After strong month-over-month growth in nearly every business metric to date, we now have the backing and the capital-certainty to scale our business globally."
We seek Safe Harbor.
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-- Published: Tuesday, 9 February 2016 | E-Mail | Print | Source: GoldSeek.com
