Golden Hope arranges $3-million equity financing
2008-06-06 08:10 ET - News Release
Mr. Louis Hoel reports
GOLDEN HOPE ANNOUNCES $3 MILLION PRIVATE PLACEMENT OFFERING
Golden Hope Mines Ltd. has arranged a non-brokered private placement offering consisting of up to 8,823,529 units of the company at a price of 17 cents per unit and of up to 7.5 million flow-through common shares of the company at a price of 20 cents per flow-through share. Each unit will consist of one common share of the company and one-half of one transferable common share purchase warrant. Each whole warrant will entitle the holder to acquire one common share at an exercise price of 24 cents per common share. The warrants will be exercisable for 18 months following the closing of the offering.
Golden Hope will use the proceeds from the offering to advance the exploration on its Bellechasse project in Quebec, as well as for property acquisition and general working capital purposes.
The company will pay certain registered brokers a commission fee equal to 6.5 per cent of the gross proceeds of the offering. In addition, on the closing date, the company will issue warrants to the brokers, entitling the brokers to collectively purchase common shares in an amount up to 6.5 per cent of the total number of units and flow-through shares issued pursuant to the offering. Each broker warrant will entitle the holder to buy one common share at 24 cents per common share. The broker warrants will be exercisable, in whole or in part, for a period of 18 months following the closing date.
The closing date is expected to occur on or about June 13, 2008, 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. The company may complete the offering through one or more closings.
We seek Safe Harbor.
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