Golden Predator Announces $15,000,000 Private Placement
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TSX: GPD
VANCOUVER, Oct. 26 /CNW/ - Golden Predator Corp. (TSX: GPD) (the "Company") is pleased to announce that it has entered into an agreement with Casimir Capital LP (the "Agent") to complete a private placement (the "Offering") for aggregate gross proceeds of up to $15,000,000.
The Offering will close in two tranches. The first tranche will consist of up to 11,125,000 units (the "Units") at a price of $0.60 per Unit for gross proceeds to the Company of $6,675,000. Each Unit will consist of one common share of the Company and one half of one non-transferable share purchase warrant. Each full warrant will entitle the holder to purchase an additional common share of the Company at a price of $0.80 for a period of twenty-four months from closing. The first tranche is scheduled to close on or about November 4, 2010.
The terms of the second tranche will be set once the Company has secured the approval of its shareholders to the issuance of securities in excess of 25% of its outstanding share capital, as required by the rules of the Toronto Stock Exchange.
The Company has agreed to pay to the Agent a cash commission of 6% of the gross proceeds raised, and issue to the Agent broker warrants to purchase that number of common shares equal to 6% of the securities issued in the Offering, and having the same terms as the warrants issued in the Offering.
Proceeds from the Offering will be used to fund exploration of Company's Yukon gold projects and for general working capital purposes.
The Offering is subject to the approval of the Toronto Stock Exchange.
About Golden Predator Corp.
Golden Predator Corp.'s corporate mandate is to be the leading gold property explorer and developer in Yukon, Canada. The Company has an extensive Yukon property position with an industry leading seven advanced exploration gold projects comprising approximately 1,400 km(2). Drill programs have been initiated on all seven advanced projects and continue at the Brewery Creek project. Additional results from these programs are pending.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance. There are numerous risks and uncertainties that could cause actual results and Golden Predator's plans and objectives to differ materially from those expressed in the forward-looking information. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, Golden Predator assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change. This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities referred to herein have not been and will not be registered under the United States Securities Act of 1933, as amended or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
For further information: Golden Predator Corp., Investor Relations (604) 648-GOLD (4653)
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