TIM KILADZE
RTGAM



Pretium Resources Inc.'s secondary offering of shares priced Thursday, and selling shareholder Silver Standard Resources has posted a nice profit in just three months.

The new units are being offered at $10 each, which includes one Pretium share and one half of a warrant, whereas the IPO that closed in December was completed at $6.

Admittedly the half warrant skews the gain, but assuming its worth about $0.50 (depending on the volatility), that's still a gain of $3.50 per share for Silver Standard.

Before the offering, Silver Standard owned about 36 million shares, or 42 per cent of the company, and these shares were acquired as partial payment for the assets that Pretium bought from Silver Standard. The latest offering is for 10 million shares, which means that Silver Standard will still own about 30 of Pretium.

Pretium officially went public in December through a $265-million IPO. Proceeds from the deal were used to purchase the Snowfield and Brucejack projects in British Columbia from Silver Standard.

Warrants in the new secondary offering have a $12.50 strike price and are excisable for one year.

The latest offering is co-led by CIBC World Markets, Citigroup and UBS, who all co-led the IPO.