Business
Sandfire Resources America Inc. Closes Its Oversubscribed Rights Offering
VANCOUVER, British Columbia, Oct. 31, 2018 (GLOBE NEWSWIRE) -- Sandfire Resources America Inc. (TSX.V: "SFR"; OTCQB: "SRAFF") ("Sandfire America" or the "Compan
About this update from Sandfire Resources America Inc.
[{"type":"text","content":" VANCOUVER, British Columbia, Oct. 31, 2018 (GLOBE NEWSWIRE) -- Sandfire Resources America Inc. (TSX.V: \"SFR\"; OTCQB: \"SRAFF\") (\"Sandfire America\" or the \"Company\") is pleased to announce that it has closed its oversubscribed rights offering, issuing 314,551,166 common shares of the Company for gross proceeds of C$18,873,070 (the \"Rights Offering\"), representing 100% of the total rights offered. In total, 251,143,277 common shares issued in the Rights Offering were distributed under basic subscription privileges, of which 245,552,064 were distributed to insiders of the Company and 5,591,213 were distributed to non-insiders. 63,407,889 common shares were issued under additional subscription privileges, 62,129,312 of which were distributed to insiders of the Company and 1,278,577 were distributed to non-insiders. To the knowledge of the Company, no person became an insider as a result of the Rights Offering. The Company’s largest shareholder, Sandfire BC Holdings Inc. (“Sandfire BC”), fully exercised its basic subscription privilege to purchase its pro rata share of the common shares offered, being 245,552,064 common shares, and also purchased an additional 62,129,312 common shares through the exercise of its additional subscription privilege, for a total subscription of 307,681,376 common shares. Upon completion of the Rights Offering, the total number of issued and outstanding common shares of the Company is now 817,833,031. Sandfire BC now owns 85.66% of the Company’s issued and outstanding common shares. The Company did not pay any fees or commissions in connection with the distribution of securities in the Rights Offering. The Company intends to use the net proceeds of the rights offering to further advance the Black Butte Copper project and for general working capital purposes. Further details of the Rights Offering are contained in the Company’s rights offering circular, which has been filed on SEDAR under the Company’s profile at www.sedar.com. Rob Scargill stated, “The Company would like to thank all of our shareholders for their continued support of the underground Black Butte Copper project as we move into the next stage of development, which includes a fall drilling program and Feasibility Study.” This news release shall not constitute an offer to sell or solicitation of an offer to buy the securities o...