Business
Bob Buchan to join Claude Resources' board and provide private placement financing
Bob Buchan to join Claude Resources' board and provide private placement financing
About this update from Kinross Gold Corporation
[{"type":"text","content":"\n\n\n\nOct. 23, 2009 (Canada NewsWire Group) -- SASKATOON, Oct. 23 /CNW/ -- Claude Resources Inc. (\"Claude\" or the \"Company\") is pleased to announce Robert (Bob) Buchan, former Chairman and CEO of Kinross Gold Corporation, has agreed to a private placement financing in Claude Resources Inc. and will join Claude's Board of Directors immediately upon closing of the financing.Mr. Buchan and/or a charitable family trust will purchase 5 million units (the \"Units\") of Claude at a price of CDN $0.72 per Unit for proceeds of CDN $3,600,000 and 2 million common shares of Claude issued on a \"flow-through\" basis at a price of CDN $0.85 per common share for proceeds of CDN $1,700,000. The aggregate gross proceeds of the offering will be CDN $5,300,000. Each Unit will consist of one common share and one common share purchase warrant (a \"Warrant\"). Each Warrant will entitle the holder to acquire one common share of Claude at a price of CDN $0.90 per common share for a period of three years following the closing date.Neil McMillan, President and CEO of Claude, stated \"We are pleased to have someone of Bob Buchan's reputation and track record take a strategic interest in our Company. We are looking forward to the contribution he can make to the long-term success of our Company and the benefits this will provide to all shareholders.\"Net proceeds from the offering of the Units will be used for general corporate purposes. Net proceeds from the offering of the \"flow-through\" shares will be used for expenditures which will be \"Canadian Exploration Expenses\" for the purposes of the Income Tax Act (Canada) and Claude will renounce such expenses with an effective date no later than December 31, 2009.The transaction, which is subject to regulatory approval, is expected to close on or about November 1, 2009.The securities offered have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.Claude Resources Inc. is a public company based in Saskatoon, Saskatchewan, whose ...