Business
Norsemont Mining Announces $6 Million Non-brokered Private Placement
Share Issued and Outstanding: 53,898,742 TSX: NOM BVL: NOM
About this update from Norsemont Mining Inc.
[{"type":"text","content":"\n\n\n\nShare Issued and Outstanding: 53,898,742\nTSX: NOM\nBVL: NOM\n\n\nTORONTO and LIMA, Peru, Dec. 12 /CNW/ - Norsemont Mining Inc. ("the\nCompany") (TSX: NOM, BVL: NOM) today announced that it has entered into a\nnon-brokered private placement of convertible notes and share purchase\nwarrants with The Sentient Group ("Sentient"). The proceeds of the financing\nare C$6 million and the Company will issue C$6 million principal amount of\nunsecured convertible promissory notes (the "Notes") and 1,764,706 share\npurchase warrants (the "Warrants") to Sentient.\n\n\nThe proceeds from this financing will be used to advance the Constancia\nfeasibility study, for surface rights' acquisitions and for general corporate\npurposes.\n\n\nThe Notes issued to Sentient will bear interest at 8 percent per annum,\npayable annually in arrears and have a three year term. Principal and accrued\ninterest are convertible, at the option of Sentient, into common shares at a\nconversion price of C$1.70 at any time during the term and at maturity. Each\nWarrant will entitle Sentient to purchase one common share of the Company at a\nprice of C$2.05 per share for a period of 24 months from the closing date of\nthe financing, expected to be on or about December 19, 2008. The Notes and the\nWarrants will contain standard anti-dilution provisions.\n\n\nThe maximum number of shares issuable to Sentient pursuant to this\ntransaction, including interest and Warrant shares, is 6,141,177, being\napproximately 11.4 percent of the Company's current issued and outstanding\ncommon shares. Together with Sentient's existing shares and share purchase\nwarrants, the maximum number of shares issued and issuable to Sentient is\n13,766,177, representing approximately 22.4 percent of the Company's\npost-issuance common shares. Under TSX policies, the issuance of the maximum\nnumber of securities to Sentient pursuant to this transaction would be deemed\nto materially affect control of the Company upon Sentient reaching or\nexceeding 20 percent of the Company's issued shares. Sentient currently holds\n6,250,000 common shares of the Company representing approximately 11.6 percent\nof the issued and outstanding shares, and is deemed to be an insider of the\nCompany. Sentient obtained a portion of their holdings in a private placement\nof ...