Business
IFC Discloses Intention to Consider an Equity Investment of C$5 Million in Tsodilo Resources Limited
IFC Discloses Intention to Consider an Equity Investment of C$5 Million in Tsodilo Resources Limited
About this update from Tsodilo Resources Limited
[{"type":"text","content":"\nIFC Discloses Intention to Consider an Equity Investment of C$5 Million in Tsodilo Resources Limited\n\n\n May 10, 2010 (Filing Services Canada) -- Tsodilo Resources Limited (TSD - TSX Venture), is pleased to announce that it has reached agreement with IFC, a member of the World Bank Group, whereby IFC will enter into an equity subscription agreement (the \"Financing\") with the Company. The non-brokered private placement of 2,710,702 units of the Company (the \"Units\") will consist of one common share priced at C$1.85 and one purchase warrant per unit, each such warrant entitling the holder to purchase one common share of the Company for a period of five years at C$2.17.  The pricing of the Unit's common share and warrant is consistent with the TSX Venture Exchange private placement policy guidelines.   The purpose of the proposed investment is to assist in the financing of the Company's ongoing exploration of its Botswana diamond and metals licenses in northwest Botswana. The key features of the proposed investment are:* An equity investment of C$5 million with a warrants package* Potential for additional funding during the exploration stage and at  Feasibility Study and development stagesThe Financing is scheduled to close on or before June 25, 2010, and is subject to successful completion of IFC's mandatory 30-day disclosure period; IFC Board approval; completion of a share subscription agreement; and, TSX Venture Exchange approval. Upon closing of the Financing, IFC is expected to become the second largest shareholder in Tsodilo.James M. Bruchs (Chairman) said \"This proposed investment is of a sufficient magnitude to allow the Company to release value in our diamond and metals projects. To have IFC as a strategic investor would give the Tsodilo management team the confidence and support to embark on an aggressive exploration campaign directed towards resource definition and thereafter mine development.  Our goal is to develop our projects in an environmentally and socially responsible manner and to meet IFC's environmental and social performance standards in the future development of our projects, we are confident that we will do so.  For us, IFC is a \"Partner of Choice\" and we look forward to a long, constructive and beneficial relationship.\" In accordance with the s...