Business
Cadillac Mining Corporation concludes reverse take over and receives financing proceeds from Blackmont Capital
Cadillac Mining Corporation concludes reverse take over and receives financing proceeds from Blackmont Capital.
About this update from Copper Quest Exploration Inc.
[{"type":"text","content":"\n\n\n\n\nVANCOUVER, July 7 /CNW/ - Cadillac Mining Corporation (Cadillac)\n(formerly Eclips Inc.) is pleased to announce the completion of the Reverse\nTake Over transaction by which Cadillac acquired 100% of Cadillac West\nExplorations Inc. (CWE), as well as the completion of a private placement\nfinancing through Blackmont Capital Inc. (Blackmont) as agent under which\nCadillac raised the amount of $3.22 million. The common shares of Cadillac are\nexpected to commence trading on the TSX Venture Exchange on July 10, 2006\nunder the symbol \"CQX\".\nBlackmont has placed 482 A Units, each comprising 7,500 flow-through\ncommon shares at $0.50, 2,500 regular common shares at $0.50, and 2,500\ntwo-year share purchase warrants exercisable at $0.55 in the first year and\n$0.75 in the second year. Blackmont has also sold 162 B Units comprised of\n10,000 regular shares at $0.50 and 10,000 two-year share purchase warrants on\nthe same terms as per the A Units. All shares and warrants so issued are\nsubject to a 4-month hold period.\nBlackmont was paid a cash commission of $289,800 comprising 9% of gross\nproceeds together with a $25,000 work fee, and received two-year brokers'\nwarrants exercisable at $0.55 and $0.75 in the first and second years\nrespectively to purchase up to 579,600 shares, being 9% of the total number of\nshares sold pursuant to the private placement.\nThe agreement to purchase CWE was announced on December 12, 2005 and on\nJanuary 31, 2006 the Share Exchange Agreement was signed. The acquisition of\nCWE and the reorganization of Eclips included the consolidation of Eclips'\noutstanding capital on a 1 for 8 effective basis, the issuance of 13,975,762\npost-consolidation shares for the shares of CWE, and the issuance of an\nadditional 608,015 post-consolidation shares in settlement of debt. Including\nthe Blackmont financing, there are currently 23,873,132 post-consolidation\nshares outstanding in Cadillac Mining Corporation.\nThe principal shareholders of Cadillac are Resource Finance & Investment\nLtd. of Hamilton, Bermuda which owns 31.7%, and Victor Erickson of Vancouver\nB.C. and Andre Audet of Courtenay B.C. who each own 10.8%. The total of\n12,714,600 shares held by such shareholders are subject to escrow, with\nreleases to be effected in stages over a three-year period.\nCWE has been heavily engaged in mi...