Mr. Graham Downs reports
ATAC RESOURCES LTD. CLOSES $13,000,000 PRIVATE PLACEMENT WITH AGNICO-EAGLE MINES LIMITED
Atac Resources Ltd. has closed the $12.96-million private placement with Agnico-Eagle Mines Ltd. announced on March 19, 2013, consisting of the sale of 9.6 million units at a price of $1.35 per unit, each unit consisting of one common share and one-half of one share purchase warrant, each whole warrant entitling the holder to purchase one additional common share at a price of $2.10 until Sept. 22, 2014, provided that, in the event the closing price of Atac's shares as traded on the TSX Venture Exchange exceeds $3.00 for a period of 10 consecutive trading days subsequent to July 23, 2013, Atac may give notice of an earlier expiry of the warrants, in which case they would expire 30 calendar days from the receipt of such notice. As a result of its participation in this private placement, Agnico-Eagle now owns 8.48 per cent of Atac's issued and outstanding share capital on an undiluted basis (12.21 per cent on a partially diluted basis if all warrants are exercised). Agnico-Eagle also has a participation right, pursuant to which, during the two-year period following the closing of the private placement, and provided it owns more than 5 per cent of the then-issued-and-outstanding common shares of Atac (taking into account convertible securities owned by Agnico-Eagle), it has the right to participate in certain subsequent equity offerings by Atac on the same terms as other participants in such offerings in order to maintain its pro rata investment in Atac.
All of the securities issued pursuant to this private placement are subject to a hold period until July 23, 2013.
We seek Safe Harbor.
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