SOLID GOLD COMPLETES $3.614 MILLION INITIAL PUBLIC OFFERING AND WILL TRADE ON
THE TSX VENTURE EXCHANGE UNDER SYMBOL SLD
/NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN./
SLD: TSX Venture Exchange
TORONTO, Oct. 19 /CNW/ - Solid Gold Resources Corp. ("Solid Gold") is pleased to announce the closing of its initial public offering ("IPO") of 6,134,700 units and 6,936,664 flow-through shares by way of prospectus at an offering price of $0.25 per unit and $0.30 per flow-through share for total gross proceeds of $3.614 million. Each unit consists of one common share of Solid Gold and one-half of one common share purchase warrant ("IPO Warrant"). Each whole IPO Warrant entitles the holder to acquire one common share in the capital of Solid Gold at an exercise price of $0.35 until October 18, 2012. The initial public offering was led by Kingsdale Capital Markets Inc.
Subsequent to the IPO, Solid Gold has 27,627,630 shares issued and outstanding and convertible securities exercisable for 10,086,473 common shares in the capital of Solid Gold. In connection with the IPO 4,728,332 of the issued and outstanding shares of Solid Gold have been placed in escrow with Solid Gold's escrow agent.
The common shares will trade on the TSX Venture Exchange under the symbol SLD.
The net proceeds of the offering will be used to fund Solid Gold's exploration of its mining claims in the Lake Abitibi, Ontario region.
Additional information relating to the IPO and Solid Gold is available in Solid Gold's prospectus, dated July 19, 2010, and other relevant documents, which are available on SEDAR at www.sedar.com.
Business of Solid Gold Resources Corp.
Solid Gold is a junior mining exploration and development company which controls a +/-200-square-kilometre prospect hosting multiple-deposit potential in the heart of the famous Porcupine trend at Lake Abitibi in Northern Ontario.
The information in this news release includes certain information and statements about management's view of future events, expectations, plans and prospects that constitute forward looking statements. These statements are based upon assumptions that are subject to significant risks and uncertainties. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward looking statements. Although Solid Gold believes that the expectations reflected in forward looking statements are reasonable, it can give no assurances that the expectations of any forward looking statements will prove to be correct. Except as required by law, Solid Gold disclaims any intention and assumes no obligation to update or revise any forward looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward looking statements or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release does not constitute and the subject matter hereof is not, an offer for sale or a solicitation of an offer to buy, in the United States or to any "U.S Person" (as such term is defined in Regulation S under the U.S. Securities Act of 1933, as amended (the "1933 Act")) of any equity or other securities of Solid Gold. The securities of Solid Gold have not been registered under the 1933 Act and may not be offered or sold in the United States (or to a U.S. Person) absent registration under the 1933 Act or an applicable exemption from the registration requirements of the 1933 Act.
For further information: Richard Cohen, Vice-President (Corporate Development), Solid Gold Resources Corp., Tel: (905) 882-4422, Email: [email protected]
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