Business
Claude Resources Inc. completes private placement offering
Claude Resources Inc. completes private placement offering
About this update from Kinross Gold Corporation
[{"type":"text","content":"\n\n\n\nNov. 17, 2009 (Canada NewsWire Group) -- SASKATOON, Nov. 17 /CNW/ -- Claude Resources Inc. (\"Claude\" or the \"Company\") is pleased to announce that it has completed the private placement offering with Mr. Robert Buchan, The Buchan Family Foundation and a relative of Mr. Buchan (the \"Offering\") previously announced on October 23, 2009.The Company is also pleased to announce that Mr. Robert (Bob) Buchan, former Chairman and CEO of Kinross Gold Corporation, has joined Claude's Board of Directors effective November 16, 2009.The Offering consisted of the issuance of 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. Each Unit consisted of one common share and one common share purchase warrant (a \"Warrant\"). Each Warrant entitles the holder to acquire one common share of Claude at a price of CDN $0.90 per common share for a period of three (3) years following the closing date. The aggregate gross proceeds of the offering was CDN $5,300,000.The common shares acquired by Mr. Robert Buchan, Mr. Fraser Buchan and The Buchan Family Foundation represent approximately 5.9% of the outstanding common shares of Claude before giving effect to the exercise of the warrants and approximately 9.7% of the outstanding common shares of Claude after giving effect to the exercise of the warrants acquired by them (but before the exercise of any other warrants or convertible securities of Claude).Immediately following the transaction, Messrs. Buchan and The Buchan Family Foundation together own 9,000,000 common shares of Claude representing approximately 7.5% of the outstanding common shares of Claude and approximately 11.3% of the outstanding common shares of Claude after giving effect to the exercise of the warrants acquired by them (but before the exercise of any other warrants or convertible securities of Claude).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...