Business
Northern Frontier Corp. Announces Closing of $18.3 million Offering of Subscription Receipts
/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UN...
About this update from 55 North Mining Inc.
[{"type":"text","content":"\n\n\n/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR\n DISSEMINATION IN THE UNITED STATES/\n\n\nCALGARY, Sept. 12, 2013 /CNW/ - Northern Frontier Corp. (TSX-V: FFF.P)\n (the \"Corporation\" or \"Northern Frontier\") is pleased to announce that it has closed its previously announced\n offering (the \"Offering\") of subscription receipts (\"Subscription Receipts\") for aggregate gross proceeds of $18.3 million. The Corporation issued\n 5,231,950 Subscription Receipts, including 89,093 Subscription Receipts\n on the partial exercise of the Over-Allotment Option (as defined below)\n at a price of $3.50 per Subscription Receipt. Each Subscription Receipt\n entitles the holder to receive, on closing of the Acquisition (as\n defined below), without payment of additional consideration, one common\n share of the Corporation (\"Common Share\") and one-half of one common share purchase warrant. Each full purchase\n warrant (\"Warrant\") will entitle the holder to acquire one Common Share at a price of\n $4.00 per share for a period of 18 months following the closing date of\n the Acquisition. The final prospectus, which qualifies the distribution\n of the Subscription Receipts, is available at www.sedar.com under the Corporation's issuer profile.\n\n\nThe Corporation engaged GMP Securities L.P. and Raymond James Ltd. as\n co-lead agents, together with Acumen Capital Finance Partners Limited\n and Cormark Securities Inc. (the \"Agents\") to act as agents for the Offering and has also granted the Agents an\n option (the \"Over-Allotment Option\") to purchase up to such number of additional Subscription Receipts\n and/or Common Shares and Warrants (as applicable, depending on when\n exercised) as is equal to 15% of the number of Subscription Receipts\n sold under the Offering to cover over-allotments, if any, and for\n market stabilization purposes. The unexercised portion of the\n Over-Allotment Option is exercisable, in whole or in part, for a period\n of 30 days after the closing of the Offering.\n\n\nThe net proceeds of the Offering will be used by the Corporation to fund\n a portion of the purchase price of the Acquisition, through its\n wholly-owned subsidiary, 1739365 Alberta Ltd., of all of the issued and\n outstanding shares of 794522 Alberta Ltd. (\"Numberco\"), which carries on the business of the NEC Group (as def...