Business
Brazil Resources Inc. completes oversubscribed $6.4 million private placement
VANCOUVER , Dec. 31, 2013 /CNW/ - Brazil Resources Inc. (the "Company" or "Brazil Resour...
About this update from Goldmining Inc.
[{"type":"text","content":"\n\n\nVANCOUVER, Dec. 31, 2013 /CNW/ - Brazil Resources Inc. (the \"Company\" or\n \"Brazil Resources\") (TSXV: BRI) (OTCQX: BRIZF) is pleased to announce\n the successful completion of its previously announced non-brokered\n private placement (the \"Private Placement\") of units of the Company\n (each, a \"Unit\") at a subscription price of $0.55 per Unit. The\n aggregate amount of the Private Placement was increased to\n approximately $6.4 million from the initially announced amount of $5.0\n million.\n\n\nAmir Adnani, Chairman, stated: \"We are very pleased to announce the\n closing of this oversubscribed Private Placement. We thank our current\n and new shareholders for their strong support. The proceeds of this\n financing will allow us to advance our long-term growth strategy,\n including positioning the company to take advantage of accretive\n opportunities in the current depressed resource markets.\"\n\n\nIn connection with the Private Placement, the Company paid cash\n commission equal to 7% on a portion of the gross proceeds raised from\n the sale of the Units to certain arm's length parties in the aggregate\n amount of $231,761, in accordance with the policies of the TSXV.\n\n\nA total of 11,650,620 Units were issued under the Private Placement,\n with each Unit consisting of one common share and one share purchase\n warrant (each, a \"Warrant\"). Each Warrant will entitle the holder\n thereof to purchase one common share of the Company at an exercise\n price of $0.75 at any time within 60 months from the closing date,\n subject to acceleration in certain circumstances in accordance with the\n terms of the warrant indenture governing the Warrants. The Company\n currently intends to seek listing of the warrants on the TSX Venture\n Exchange (the \"TSXV\") upon the expiry of the applicable hold period.\n\n\nThe Units, common shares and warrants issued under the Private Placement\n are subject to a hold period expiring on May 1, 2014 in accordance with\n the rules and policies of the TSXV and applicable Canadian securities\n laws and such other further restrictions as may apply under foreign\n securities laws.\n\n\nThe Company intends to use the net proceeds from the Private Placement\n to advance the Company's São Jorge and Cachoeira projects and to incur\n expenditures for strategic initiatives, including the acqu...