Desert Star Closes $14.6 Private Placement of Subscription Receipts

About this update from Kutcho Copper Corp

[{"type":"text","content":"Desert Star Closes $14.6 Private Placement of Subscription ReceiptsVANCOUVER, BC / ACCESSWIRE / December 8, 2017 / Desert Star Resources Ltd. (TSX-V: DSR) (\"Desert Star\" or the \"Company\") is pleased to announce that it has closed a private placement of 22,498,807 subscription receipts of the Company's wholly-owned subsidiary, Desert Star Holdings Corp., previously announced on November 2, 2017, for aggregate gross proceeds of $14,624,224.55 ( the \"Offering\").\nEach subscription receipt was priced at $0.65 and entitles the holder to ultimately receive one unit of the Company consisting of one common share of the Company and one-half of one common share purchase warrant with each whole warrant entitling the holder to acquire an additional common share of the Company at $1.00 per share for 36 months following conversion of the subscription receipts into the underlying units.\nProceeds of the Offering will be held in escrow pending conversion of the subscription receipts upon satisfaction of certain conditions precedent, including completion of all conditions precedent for the proposed acquisition of the Kutcho Project discussed below. If the conversion of the subscription receipts does not occur before 5:00 pm (Vancouver time) on December 15, 2017 (unless extended) the holders of the subscription receipts will be entitled to a return of their full subscription price and their pro rata entitlement to the interest earned on the escrowed funds. The subscription receipts are subject to a hold period of four months and one day from closing. The common shares and warrants of the Company issuable upon conversion of the subscription receipts will be free from resale restrictions under applicable securities laws.\nIn connection with the Offering, Macquarie Capital Markets Canada Ltd. acted as lead agent on behalf of a syndicate of agents including BMO Capital Markets, Haywood Securities Inc., and PI Financial Corporation (the \"Agents\"), who sold an aggregate of 11,715,615 Subscription Receipts for aggregate gross proceeds of $7,615,149.75 on a brokered-basis. An additional 10,783,192 subscription receipts were sold on a non-brokered under the Offering basis for aggregate gross proceeds of $7,009,074.80. At the time of conversion of the subscription receipts, the Agents will be entitled to receive a 6% cash commission and non-transfe...

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