Osisko Strengthens Balance Sheet With $241 M Proceeds From Exercise of $5.45 Warrants
MONTREAL, QUEBEC--(Marketwire - Nov. 18, 2009) - Osisko Mining Corporation ("Osisko") (TSX:OSK)(FRANKFURT:EWX) is pleased to report that it has received proceeds of $241 million from the exercise of 44,232,490 of its $5.45 warrant (OSK.WT.A) which expired on November 17, 2009. Some 42,510 warrants were not exercised.
These warrants were issued as part of the February 2009 $403 million financing underwritten by a syndicate of underwriters (the "Underwriters"), led by Thomas Weisel Partners Canada Inc. and BMO Nesbitt Burns Inc., and including Dundee Securities Corporation, RBC Dominion Securities Inc., National Bank Financial Inc., Paradigm Capital Inc., Canaccord Capital Corporation, TD Securities Inc. and PI Financial Corp. Osisko issued a total of 88,550,000 units (the "Units") of the Corporation at a price of $4.55 per Unit. Each Unit consisted of one common share and one-half of one common share purchase warrant.
Sean Roosen, President and Chief Executive Officer, commented on the exercise of the warrants: "We are extremely pleased to receive the proceeds of $241 million, in addition to the recent proceeds of $39.6 million from the exercise of the $7.90 warrants, thereby providing us with one of the strongest balance sheets in our sector. We appreciate the confidence of our shareholders as we develop the Canadian Malartic Project and look to grow our asset base with high quality gold development projects."
Osisko currently has 335,474,919 shares outstanding, and cash on hand of $775 million.
About Osisko
Osisko Mining Corporation is currently developing the Canadian Malartic gold deposit and evaluating adjacent areas for a large-scale open pit, bulk-tonnage mining operation. The Canadian Malartic deposit currently represents one the biggest gold reserves in Canada for a single deposit, and is still growing through ongoing drilling on new mineralized zones. Current reserves for the Canadian Malartic property are 6.28 million ounces, plus a global measured and indicated resource of 3.65 million ounces and an inferred resource of 0.84 million ounces (including the adjacent South Barnat deposit).
