Owner
Post by Franko10 ™ on Apr 28, 2006 18:32:14 GMT -5
Blue Note Metals Announces Increase of Brokered Private Placement up to CDN $65,000,000 (cnw)
Shares Outstanding: 16.7 Million
Symbol & Exchange: BNT-TSXV
/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
MONTREAL, April 28 /CNW/ - Blue Note Metals Inc. (BNT: TSX-V) is pleased to announce that it has agreed with its syndicate of agents, co-led by Octagon Capital Corporation and TD Securities Inc. and including Blackmont Capital Inc. and Northern Securities Inc. (the "Agents"), to raise the amount of the private placement from the previously announced (see release of March 27, 2006) $50,000,000 to $65,000,000 of units ("Units") at $1.50 per Unit. Each Unit will consist of one common share at $0.30 per common share and four subscription receipts ("Subscription Receipts") at $0.30 per Subscription Receipt. Each Subscription Receipt will entitle the holder to one common share subject to the completion of the Escrow Provisions (as described below).
Approximately $50,000,000 of the net proceeds will be used for the development of the Caribou and Restigouche Mines (the "Properties"), approximately $5,000,000 of the net proceeds will be used for the further development of the mines and surrounding properties (including extending the current proven and probable reserves), and the remaining net proceeds will, as Blue Note Metals Inc. deems appropriate, be used for the further development of the mines, future acquisitions and general working capital.
The Agents have the option to increase the size of the offering by up to an additional $10,000,000 of Units, offered on the same terms and conditions, by written notice to Blue Note Metals Inc.
The private placement is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange. The securities of Blue Note Metals Inc., to be issued in connection with the private placement, will be subject to a restricted period of four months and a day from the date of the closing of the private placement pursuant to applicable securities legislation. The Subscription Receipts will automatically be converted into common shares of Blue Note Metals Inc. upon the transfer of title to the Properties being completed and certain additional conditions being satisfied (the "Escrow Provisions").
Forward-Looking Statements
This news release contains discussion of items that may constitute forward-looking statements within the meaning of securities laws that involve risks and uncertainties. Although the company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurances that its expectations will be achieved. Factors that could cause actual results to differ materially from expectations include the effects of general economic conditions, actions by government authorities, uncertainties associated with contract negotiations, additional financing requirements, market acceptance of the Company's products and competitive pressures. These factors and others are more fully discussed in Company filings with Canadian securities regulatory authorities.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this news release.
Blue Note Metals is a mineral exploration and mine development company with properties in New Brunswick. The company's shares trade on the TSX Venture Exchange under the symbol BNT.
For further information: please contact: Lorne Woods. Vice President, Corporate Development, Blue Note Metals, 800-937-3095, lwoods@bluenotemetals.ca, www.bluenotemetals.ca
Shares Outstanding: 16.7 Million
Symbol & Exchange: BNT-TSXV
/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
MONTREAL, April 28 /CNW/ - Blue Note Metals Inc. (BNT: TSX-V) is pleased to announce that it has agreed with its syndicate of agents, co-led by Octagon Capital Corporation and TD Securities Inc. and including Blackmont Capital Inc. and Northern Securities Inc. (the "Agents"), to raise the amount of the private placement from the previously announced (see release of March 27, 2006) $50,000,000 to $65,000,000 of units ("Units") at $1.50 per Unit. Each Unit will consist of one common share at $0.30 per common share and four subscription receipts ("Subscription Receipts") at $0.30 per Subscription Receipt. Each Subscription Receipt will entitle the holder to one common share subject to the completion of the Escrow Provisions (as described below).
Approximately $50,000,000 of the net proceeds will be used for the development of the Caribou and Restigouche Mines (the "Properties"), approximately $5,000,000 of the net proceeds will be used for the further development of the mines and surrounding properties (including extending the current proven and probable reserves), and the remaining net proceeds will, as Blue Note Metals Inc. deems appropriate, be used for the further development of the mines, future acquisitions and general working capital.
The Agents have the option to increase the size of the offering by up to an additional $10,000,000 of Units, offered on the same terms and conditions, by written notice to Blue Note Metals Inc.
The private placement is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange. The securities of Blue Note Metals Inc., to be issued in connection with the private placement, will be subject to a restricted period of four months and a day from the date of the closing of the private placement pursuant to applicable securities legislation. The Subscription Receipts will automatically be converted into common shares of Blue Note Metals Inc. upon the transfer of title to the Properties being completed and certain additional conditions being satisfied (the "Escrow Provisions").
Forward-Looking Statements
This news release contains discussion of items that may constitute forward-looking statements within the meaning of securities laws that involve risks and uncertainties. Although the company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurances that its expectations will be achieved. Factors that could cause actual results to differ materially from expectations include the effects of general economic conditions, actions by government authorities, uncertainties associated with contract negotiations, additional financing requirements, market acceptance of the Company's products and competitive pressures. These factors and others are more fully discussed in Company filings with Canadian securities regulatory authorities.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this news release.
Blue Note Metals is a mineral exploration and mine development company with properties in New Brunswick. The company's shares trade on the TSX Venture Exchange under the symbol BNT.
For further information: please contact: Lorne Woods. Vice President, Corporate Development, Blue Note Metals, 800-937-3095, lwoods@bluenotemetals.ca, www.bluenotemetals.ca
