Business
Unigold announces closing of previously announced $4.5 million financing
Unigold announces closing of previously announced $4.5 million financing.
About this update from Unigold Inc.
[{"type":"text","content":"\n\n\n\n\n/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR\nDISSEMINATION IN THE UNITED STATES/\n\nTORONTO, July 11 /CNW/ - Unigold Inc. (\"Unigold\" or the \"Company\")\n(TSX-V: UGD) is pleased to announce the closing of the non-brokered private\nplacement (the \"Private Placement\") of 9,000,000 units of the Company\n(\"Units\") at a price of $0.50 per Unit for aggregate gross proceeds of\n$4,500,000. Each Unit consists of one common share of the Company (a \"Common\nShare\") and one warrant (a \"Warrant\"), with each Warrant entitling the holder\nthereof to purchase one Common Share at any time for a period of 12 months\nfollowing the date of the closing of the Private Placement at a price of\n$0.75.\nPowerOne Capital Markets Limited ('PowerOne\") and Kingsdale Capital\nMarkets Inc. (\"Kingsdale\") were collectively paid a cash commission of\n$170,910 and were issued 455,760 compensation warrants, with each warrant\nentitling the holder thereof to purchase one Common Share at any time for a\nperiod of 12 months following the date of the closing of the Private Placement\nat a price of $0.50.\nShairco for Trading Industry and Contracting, the Company's major\nshareholder subscribed for 3,303,000 of the 9,000,000 units sold pursuant to\nthe Private Placement and thereby retained its 36.7% ownership in Unigold. The\nbalance of the Units were purchased by Sprott Asset Management Inc., Firebird\nGlobal Master Fund and Pinetree Capital Ltd.\nCompletion of the Private Placement is subject to receipt by the Company\nof final approval from the TSX Venture Exchange. All of the securities issued\nin connection with the Private Placement, including any securities issued to\nPowerOne and Kingsdale, are subject to a four month hold period.\nWith the closing of this Private Placement, the Company has approximately\n$7.5 million in the treasury to fund its ongoing exploration program in the\nDominican Republic.\n\nAbout the Company\n-----------------\nThe Company is exploring to find and develop gold deposits on its 100%\nowned 226 km(2) Neita property located in the Dominican Republic. The goal is\nto target bulk tonnage, open pittable, oxide gold deposits within a similar\nsetting to the world class Pueblo Viejo gold project which occurs within a\nbroad northwest trending Cretaceous age volcanic greenstone belt that\ntransect...