Business
Golden Arrow Announces US$3 Million Financing by Argentine Investor
(via Thenewswire.ca) Golden Arrow Resources Corporation (TSX-V: GRG, FRA: GAC (WKN: A0B6XQ...
About this update from Golden Arrow Resources Corp.
[{"type":"text","content":"Golden Arrow Announces US$3 Million Financing by Argentine Investor(via Thenewswire.ca)\n \n \nGolden Arrow Resources Corporation (TSX-V: GRG, FRA: GAC (WKN: A0B6XQ), \"Golden Arrow\" or the \"Company\") is pleased to announce a US$3 Million financing by an Argentina-based industry investor (the \"Investor\"), through Golden Arrow's 100%-owned subsidiary, Valle del Cura S.A. (\"VdC\"), which holds and operates the Chinchillas Silver Project in Argentina. The Investor has agreed to finance US$3 Million for a 3% equity interest in VdC, based on the recently released Preliminary Economic Assessment of the Chinchillas Project (see news release dated December 5, 2013). To facilitate the investment, Golden Arrow shall grant the Investor a 3-year option to exchange its US$3 Million equity position in VdC into Golden Arrow shares at a price of US$2.38 per share. \n\n \n \nThis financing allows Golden Arrow to continue to fast-track the development of Chinchillas. The proceeds, together with existing funds, will be used for the upcoming 25,000 meter drill program, which is planned to commence in the first quarter of 2014 and to advance Chinchillas towards the feasibility stage.\n\n \n \n\"I am delighted to be able to secure funds avoiding the potential dilution to Golden Arrow at current trading prices. Further, Chinchillas' value is fully acknowledged as per the PEA by an industry investor,\" stated Joseph Grosso President and C.E.O. \"This financing represents an equivalent raise at US$2.38 per Golden Arrow share, a significant premium to the market.\" \n\n \n \nThis transaction is subject to TSX Venture Exchange approval. A finder's fee may be payable.\n\n \n \nAbout Golden Arrow:\n\n\n \nGolden Arrow is a Vancouver-based explorer focused on identifying, acquiring and advancing precious and base metal projects in Argentina with the goal of achieving a world class discovery. The core focus is on advancing the flagship Chinchillas Silver Project located in Jujuy, Argentina. Golden Arrow has a strong treasury which will allow the company to advance its Chinchillas Silver Project. Golden Arrow will continue to execute its strategy to leverage the Company's exploration exposure by attracting partners to fund work on its other high quality mineral projects. Golden Arrow is a member of Grosso Group, a management company specialized in resour...