Fission Uranium Announces Closing of Offering

Our website uses cookies. By browsing our website, you agree that we can use cookies as described in our Privacy Policy and this cookie notice. [Disclaimer | OK]

24^th October 2013: Fission Uranium Corp. (TSXV:FCU)(OTCQX:FCUUF)(FRANKFURT:2FU) (“Fission” or the “Company”) is pleased to announce that the Company has closed its previously announced private placement of 7,500,000 subscription receipts (the “Subscription Receipts”), at a price of $1.50 per Subscription Receipt, for gross proceeds of $11,250,000 (the “Offering”). The Offering was conducted on a bought deal basis by a syndicate of underwriters led by Dundee Securities Ltd. and including Raymond James Ltd., Cantor Fitzgerald Canada Corporation, Canaccord Genuity Corp. and Macquarie Capital Markets Canada Ltd. (collectively, the “Underwriters”). Concurrently with the closing, the Underwriters exercised their over-allotment option and purchased an additional 1,081,700 Subscription Receipts at the offering price, which increased the amount of gross proceeds under the Offering to $12,872,550.

Each Subscription Receipt is exchangeable into one flow-through common share of the Company upon the satisfaction of the Escrow Release Conditions (as defined below).

In connection with the Offering, the Underwriters will receive, upon satisfaction of the Escrow Release Conditions (as defined below) (a) in respect of the first 7,670,500 Subscription Receipts distributed, a cash commission equal to 6.0% of the gross proceeds from the sale of such Subscription Receipts and that number of non-transferable broker warrants (“Broker Warrants”) equal to 6.0% of that number of Subscription Receipts and (b) in respect of the remaining 911,200 Subscription Receipts distributed, a cash commission equal to 6.0% of 40% of the gross proceeds from the sale of such Subscription Receipts and that number of Broker Warrants equal to 6.0% of 40% of that number of Subscription Receipts. Each Broker Warrant will be exercisable into one common share of the Company for a period of 24 months from the closing of the Offering at a price of $1.50 per common share.

As previously announced on September 18, 2013, the Company and Alpha Minerals Inc. (“Alpha”) entered into an arrangement agreement (the “Arrangement Agreement”) whereby the Company will acquire Alpha and its primary asset, a 50-per-cent interest in the Patterson Lake South joint venture, the other 50 per cent of which is held by the Company (the “AlphaTransaction”). As per the terms and conditions of the Arrangement Agreement, Alpha has provided its consent with respect to the Offering.

The gross proceeds of the Offering were deposited in escrow with a third party and will be released from escrow to purchase flow-through common shares of the Company immediately following the closing of the Alpha Transaction, including the spinout of the Company’s non-Patterson Lake South assets to a newly formed company (“Spinco”), receipt of all required third party and regulatory approvals and the payment of the cash portion of the Underwriters’ commission (the “Escrow Release Conditions”). Subscribers of the Offering will not receive shares in Spinco.

In the event that the Escrow Release Conditions are not satisfied on or before December 10, 2013, the gross proceeds of the Offering, together with accrued interest earned thereon will be returned to the holders of the Subscription Receipts and the Subscription Receipts will be cancelled.

The gross proceeds of the Offering will be used for the sole purpose of exploring the Patterson Lake South project.

more news

current video Association Support group Publishing house

no video selected

» change to channel

U.S. Gold Corp. Announces Acquisition of Orevada Metals, Inc.

Transformative transaction brings 2nd promising NV exploration project to USAU ELKO, NV, September 11, 2019 – U.S. Gold Corp. (NASDAQ: USAU - https://www.c …

read more

TerraX Extends Gold Mineralization Another 600 Meters In Phase 1 Of Drill

Vancouver, B.C. – TerraX Minerals Inc. (TSX-V: TXR; Frankfurt: TX0; OTC Pink: TRXXF - https://www.commodity-tv.net/c/search_adv/?v=298857 ) is pleased to anno …

read more

Latest Video

Jervois Mining: Idaho Driling Impressions & Project Flyover

Create own channel

Please click here to be forwarded to the channel registration of Germany-TV.

Fission Uranium Announces Closing of Offering