Business
Eco Oro announces private placement of up to $3 million
/THIS NEWS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U...
About this update from Eco Oro Minerals Corp.
[{"type":"text","content":"\n\n/THIS NEWS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES/\n\n\n\nVANCOUVER, Jan. 26, 2015 /CNW/ - Eco Oro Minerals Corp. (\"Eco Oro\" or the \"Company\") (TSX: EOM) is pleased to announce its intention to complete a non-brokered private placement (the \"Offering\") of up to 3,896,104 common shares of the Company (\"Common Shares\") at $0.77 per Common Share for gross aggregate proceeds of up to $3 million.\n\nThe net proceeds of the Offering will be used by Eco Oro for general working capital purposes. There are currently 84,228,421 Common Shares outstanding without giving effect to the Offering. Following completion of the Offering, assuming it is fully subscribed, the Company will have a total of 88,124,525 Common Shares outstanding.\n\nCertain insiders of the Company, including Eco Oro's most significant shareholders, may acquire Common Shares under the Offering. Any such participation would constitute a \"related party transaction\" as defined under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"). Such participation, however, is exempt from the valuation and minority shareholder approval requirements of MI 61-101 based on the fact that neither the fair market value of the Offering, nor the consideration paid by such persons, exceeds 25% of the Company's market capitalization.\n\nThe Offering is subject to receipt of approval to list the Common Shares on the Toronto Stock Exchange. The Common Shares will be subject to a hold period under applicable securities laws, which will expire four months plus one day from the date of closing of the Offering. The Company has not filed a material change report at least 21 days prior to the anticipated closing of the Offering as the terms of the transaction had not been established at that time.\n\nThe securities to be issued under the Offering have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the \"U.S. Securities Act\"), or any state securities laws, and accordingly, may not be offered or sold within the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This news release does not ...