Business
Rathdowney closes first tranche of non-brokered financing, raising $6.9 million
VANCOUVER , Aug. 12, 2014 /CNW/ - Rathdowney Resources Ltd. ("Rathdowney" or the "Compan...
About this update from Rathdowney Resources Ltd.
[{"type":"text","content":"\n\n\nVANCOUVER, Aug. 12, 2014 /CNW/ - Rathdowney Resources Ltd. (\"Rathdowney\"\n or the \"Company\") (TSXV: RTH) announces it has completed the first tranche of a private placement of\n approximately 27,840,000 common shares at a price of $0.25 per share\n for gross proceeds of $6,960,000. The shares are subject to applicable\n resale restrictions, including a 4 month hold under Canadian\n legislation. Fees of up to 6% are payable on a portion of the\n financing.\n\n\nOne of the placees, Geologic Resource Partners LLC (\"Geologic\") has\n subscribed for 22,800,000 shares and upon completion of the financing\n will hold 19.6% of the shares of the Company.  Geologic also has the\n right to nominate two individuals for appointment to the Company's\n Board of Directors. Concurrent with the closing, George Ireland, Chief\n Investment Officer and Managing Member of Geologic, who has over 30\n years of experience in all aspects of the resource sector and Myron\n Manternach, who is a consultant to the investment committee of Geologic\n and has 20 years of experience in managing investments, with\n significant experience in the natural resources and technology sectors,\n have agreed to join Rathdowney's Board.  Robert Schafer and Stephen\n Hodgson have resigned from the Board.\n\n\nProceeds from the financing will be used to advance Phase II activities\n at Rathdowney's flagship Olza Zinc-Lead-Silver Project in Poland and\n for working capital purposes.\n\n\nPresident and CEO Robert Konski said, \"On behalf of the Rathdowney Board\n of Directors, I would like to welcome the representatives of our major\n shareholder to the Board.  We look forward to their knowledge and\n advice as the project advances.\n\n\nI would also like to thank Bob Schafer and Steve Hodgson for their\n insights and guidance to the Company over the past three years.\"\n\n\nAbout Rathdowney\n\n\nRathdowney Resources Ltd. is an exploration and development company\n focused on advancing the Olza zinc-lead-silver project in Poland\n through permitting and into production. Rathdowney is associated with\n Hunter Dickinson Inc. (\"HDI\") a diversified, global mine development\n company with a 25-year history of mineral development success.\n\n\nAbout Project Olza\n\n\nProject Olza is located in the Upper Silesian Mining District of\n southwestern Poland, a...