TSX Venture Symbol: CVN
VANCOUVER, June 13 /CNW/ - Cavan Ventures Inc. (the "Company") is a public mineral exploration company based in Vancouver, British Columbia trading on the TSX Venture under the symbol, CVN. The Company announces that it intends to effect a non-brokered private placement in a maximum amount of $315,000 to "accredited investors" in Canada. In the private placement, the Company intends to issue a maximum of 900,000 units at a price of $0.35 per unit, for maximum proceeds of $315,000. Each of the units will consist of either one flow-through share or one non flow-through common share, plus one non flow-through non-transferable share purchase warrant. Each warrant will entitle the holder, on exercise, to purchase one additional common share at a price $0.50 per share for a period of two years.
The net proceeds of this non-brokered private placement will be used for initial exploration work program on the newly acquired KM-Kisgegas Property and for general corporate working capital. Closing of the private placement is expected to occur on or about June 20, 2008.
In connection with the non-brokered private placement, the Company may pay commissions and finders' fees to registered persons and others in an amount equal to 8.5% of the proceeds from the sale of the units, and grant compensation options to such persons entitling them to purchase a number of units equal to 10% of the number units sold in the private placement.
The common shares, flow-through shares, and warrants comprised in the units will be subject to a four-month "hold period" from the date of closing under the policies of the TSX Venture Exchange and applicable securities legislation.
This news release contains certain forward-looking statements that reflect the current views and/or expectations of Cavan Ventures Inc. with respect to its performance, business and future events. Such statements are subject to a number of risks, uncertainties and assumptions. Actual results and events may vary significantly.
Closing of this non-brokered private placement for the use of exploration work on the newly acquired KM-Kisgegas Property and for general working capital is subject to acceptance for filing by the TSX Venture Exchange.
On behalf of the Board of Directors:
"Ming Chiang"
Ming Chiang, President & CEO
(604)763-7748 (cell)
(604)628-5878 (office)
ming@cavanventures.com
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