Mar. 3, 2011 (Canada NewsWire Group) --
VANCOUVER, March 3 /CNW/ - The Company (MIDASCO CAPITAL CORP.) (TSX-V: MGC) has closed its previously announced non-brokered private placement of Units of the corporation (refer to news releases dated January 25, 2011 and February 23, 2011) for gross proceeds of $1,030,791 through the issuance of 11,000,000 Units at a price of $0.10 per Unit. Each Unit consists of one common share of the company and one-half share purchase warrant, with each warrant entitling the holder thereof to acquire one common share at an exercise price of $0.20 per share, at any time prior to February 25, 2012. If after June 25th, 2011 the common shares of the Issuer close at a price in excess of $0.40 per share for 10 consecutive days, then the expiry date of the warrants will be accelerated to the date that is 30 days after notice of the new expiry date is provided to the holders of the warrants. Proceeds will be used to review Uranium interests in the US, explore possible mineral acquisitions in Latin America and for general working capital.
The company has paid a 7% cash commission and granted 7% Finders Options to the following companies:
PowerOne Capital Markets Ltd., $35,000 cash and 350,000 Finders Option
Haywood Securities Inc. $ 14,000 cash and 140,000 Finders Option
Global Securities Corp. $11,459 cash and 114,590 Finders Option
Canaccord Genuity Corp. $8,750 cash and 87,500 Finders Option
Each Finders Option is exercisable into Units of the company at the price of $0.10 per Unit, until February 25, 2012. Each Unit consists of one common share and one-half warrant exercisable under the same terms and conditions as offered under the non-brokered private placement.
All securities issued under this non-brokered private placement and Finders Options will be subject to resale restrictions that expire after June 25th 2011.
Closing of the financing is subject to receipt of all necessary regulatory approvals, including final TSX Venture Exchange approval.
We seek safe harbour.
"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."
Dustin Elford, President (604) 669-2901