pcJ News Briefs – Adventus Zinc Corporation (TSX-V: ADZN) has engaged a syndicate of underwriters co-led by Cormark Securities Inc. and Haywood Securities Inc. for a bought deal financing of 11,363,637 common shares at a price of $0.88 per share for gross proceeds of $10,000,000.56.
Adventus Zinc’s strategic shareholders including Altius Minerals Corporation (TSX: ALS), Greenstone Resources LP and Resource Capital Funds are expected to participate in the Offering.
Altius Minerals Corporation, Greenstone Capital II L.P. and Resource Capital Fund VI L.P. currently control 26.58%, 17.56%, and 17.56% of Adventus Zinc outstanding common shares.
photo credit: Adventus Zinc
News Release
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
ADVENTUS ZINC ANNOUNCES C$10 MILLION BOUGHT DEAL PRIVATE PLACEMENT
Toronto, December 4, 2017 – Adventus Zinc Corporation (“Adventus Zinc” or the “Company”) has today entered into an agreement with a syndicate of underwriters co-led by Cormark Securities Inc. and Haywood Securities Inc. (the “Underwriters”) pursuant to which the Underwriters have agreed to purchase on a “bought deal” private placement basis 11,363,637 common shares of the Company (the “Shares”) at a price of C$0.88 per Share (the “Offering Price”), representing total gross proceeds of C$10,000,000.56 (the “Offering”). It is anticipated that Adventus Zinc’s strategic shareholders including Altius Minerals Corporation, Greenstone Resources LP and Resource Capital Funds will participate in the Offering. Closing is expected on or about December 21, 2017 and is subject to regulatory approval including that of the TSX Venture Exchange and the securities regulatory authorities.
In addition, the Company has granted the Underwriters an option (the “Underwriters’ Option”), exercisable in whole or in part, on the closing date, to purchase up to 1,704,546 additional Shares at the Offering Price. In the event that the Underwriters’ Option is exercised in its entirety, the aggregate gross proceeds of the Offering will be C$11,500,001.
The net proceeds of the Offering will be used by the Company to fund the Curipamba Project in Ecuador and its Ecuadorian Exploration Alliance, general and administrative expenses, corporate activities as well as working capital for the Company. The Shares will be offered for sale on a private placement basis pursuant to applicable exemptions from the prospectus and registration requirements in the following jurisdictions in all of the Provinces of Canada and elsewhere.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the Shares in any state in which such offer, solicitation or sale would be unlawful. The Shares have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.
About Adventus Zinc
Adventus Zinc is a unique company focused on zinc exploration and project development globally. Its strategic shareholders include Altius Minerals Corporation, Greenstone Resources LP and Resource Capital Funds, as well as other highly respected investors in the mining business. Adventus Zinc currently has large prospective land packages in both Ireland and Newfoundland and Labrador, Canada, and is earning a 75% ownership interest in the Curipamba polymetallic project in Ecuador. In addition, Adventus Zinc has a country-wide generative exploration alliance with its partner in Ecuador. The Company is based in Toronto, Canada, and is listed on the TSX-V under the symbol ADZN
For further information from Adventus Zinc, please contact Christian Kargl-Simard, Chief Executive Officer, at 1-416-230-3440 or christian@adventuszinc.com.