Welcome To The Gold Wheaton Corp. HUB On AGORACOM
Gold Wheaton purchases the gold by-product streams from the production of existing mines or mines currently being constructed.
Message: Announces Terms of C$100 Million Equity Financing
| February 19, 2009 |
| Gold Wheaton Gold Corp. Announces Terms of C$100 Million Equity Financing |
| VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 19, 2009) - NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES Gold Wheaton Gold Corp. (TSX VENTURE:GLW) (the "Company") announces that in connection with its previously announced public offering on February 18, 2009 it has entered into an underwriting agreement with a syndicate of underwriters, co-led by Paradigm Capital Inc., Canaccord Capital Corporation, and GMP Securities L.P. and including BMO Capital Markets, and Scotia Capital Inc. to sell 400,000,000 units ("Units") at a price of C$0.25 per Unit to raise gross proceeds of C$100 million pursuant to a short form prospectus. Each Unit will consist of one common share and one half share purchase warrant, with each whole warrant entitling the holder to acquire one additional common share at an exercise price of C$0.50 per share for a period of 2 years following the closing of the offering. In addition the Company has granted the underwriters an over-allotment option to purchase up to that number of additional Units equal to 15% of the Units sold pursuant to the offering, exercisable at any time up to 30 days from the closing of the offering. The Company intends to use the net proceeds from the offering to pay the balance of the purchase consideration payable by the Company in connection with the First Uranium Corp. gold stream purchase transaction and the balance for general working capital purposes. "This financing will allow us to complete the second phase of the First Uranium transaction and continue to grow the Company's portfolio of current gold production. The increased production is from a very low risk operation and brings immediate significant additional cash flow. We continue to look at additional accretive acquisitions to further grow the Company," said David Cohen, Chairman and CEO of Gold Wheaton. The offering is scheduled to close on or about March 5, 2009 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange and the securities regulatory authorities. |
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