Business
Vista Gold Corp. Announces Closing of U.S. $7.8 Million Private Placement
Vista Gold Corp. Announces Closing of U.S. $7.8 Million Private Placement.
About this update from Vista Gold Corp
[{"type":"text","content":"\n\n\n\n\nDENVER, Sept. 23 /CNW/ -- Vista Gold Corp.\n(Amex: VGZ; Toronto) is pleased to announce the closing of the private\nplacement previously announced on August 26, 2005. The Corporation raised\ngross proceeds of U.S. $7,807,723 from the sale of 2,168,812 units priced at\nU.S. $3.60 per unit. Each unit consists of one common share and one warrant.\nEach warrant will entitle the holder to acquire one common share at an\nexercise price of U.S. $4.10 for a period of two years from the date of issue.\nVista is to register for resale, under the U.S. Securities Act of 1933,\nthe common shares issued in the placement, as well as the common shares\nissuable upon the exercise of warrants. The warrants have a provision for\naccelerating their expiry date as follows: starting six months after the\nshare registration is declared effective, if the closing price of Vista's\ncommon shares on the American Stock Exchange is U.S. $5.40 or more for a\nperiod of 20 consecutive trading days, then for 15 business days Vista will\nhave the option to request that the warrants be exercised. If the warrants\nare not exercised within 15 business days following this request, they will be\ncancelled.\nThe Corporation paid a cash finder's fee equal to 6% of the gross proceeds\nof the private placement and also issued as a finder's fee 216,881 warrants,\nthat number being 10% of the number of units issued in the private placement.\n\"The proceeds of this private placement will allow us to continue with our\nstrategy of acquiring additional gold resources, as suitable opportunities\narise; improving our gold projects through additional drilling, re-engineering\nand feasibility studies; and to pay on-going administration costs,\" said Mike\nRichings, President and Chief Executive Officer.\n\nThe securities described above have not been registered under the U.S.\nSecurities Act of 1933 and may not be offered or sold in the United States\nabsent registration or an applicable exemption from registration requirements.\n\nVista Gold Corp., based in Littleton, Colorado, evaluates and acquires\ngold projects with defined gold resources. Additional exploration and\ntechnical studies are undertaken to maximize the value of the projects for\neventual development. The Corporation's holdings include the Maverick\nSprings, Mountain View, Hasbrouck, Three Hills, Hycrof...