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Rupert Resources Announces $13.1M Strategic Investment From Agnico Eagle Mines Limited for a 9.9% Shareholding
TORONTO--(BUSINESS WIRE)--Rupert Resources Ltd. (“Rupert” or “the Company”) announces a non-brokered private placement with Agnico Eagle Mines Limited (“Agnico”
About this update from Rupert Resources Ltd.
[{"type":"text","content":"TORONTO--(BUSINESS WIRE)--Rupert Resources Ltd. (“Rupert” or “the Company”) announces a non-brokered private placement with Agnico Eagle Mines Limited (“Agnico”) that will result in Agnico holding, after giving effect to the placement, 9.9% of the issued and outstanding common shares of Rupert (\"Common Shares\"), on a non-diluted basis, and warrants to acquire an additional 11,543,704 Common Shares, representing an aggregate of 16.1% of the issued and outstanding Common Shares on a partially-diluted basis. Agnico subscribed for 15,391,605 units of the Company (the “Units”) at a subscription price of C$0.85 per Unit, for gross proceeds to Rupert of C$13,082,864. The proceeds will be used to further advance exploration of Rupert’s 100% owned Pahtavaara Project in Northern Finland. James Withall, CEO of Rupert, commented: “The strategic investment by Agnico, one of the world’s premier gold mining companies and the operator of the Kittila mine, Europe’s largest gold mine located 50km from Rupert’s Pahtavaara Project, will help unlock the potential of our ground and validates Rupert’s exploration in the region. The new investment is expected to fund Rupert’s exploration campaign for at least 12 months and may lead to synergies in the event Rupert’s projects progress to the development stage.” Rupert is issuing 15,391,605 Units to Agnico. Each Unit is comprised of (i) one Common Share; and (ii) 0.75 of a common share purchase warrant, which will entitle Agnico to purchase, for a period of three years from the date of issue, one Common Share for each whole warrant at an exercise price of C$1.00 per Common Share. The warrants provide that, beginning two years from the date of issue, if the price of the Common Shares on the TSX Venture Exchange exceeds C$1.25 per Common Share for at least 20 consecutive trading days, Rupert shall have the right to accelerate, by notice to Agnico, the expiry date of the warrants to 30 calendar days after the date of such notice (such that Agnico may either exercise all or a portion of the warrants in such 30 day period, or failing such exercise, any unexercised warrants would expire). Fort Capital Partners has acted as advisor to Rupert with respect to capital markets strategy and the investment by Agnico. Concurrently with the strategic investment, Agnico and Rupert have entered into an investor rights ...