Quick Facts
FONT-SIZE Plus   Neg
Share SHARE

Guyana Goldfields Proposes Offering Of C$8.4 Mln Share At C$2.91/shr

Guyana Goldfields Inc. (GUY.TO: Quote) said Wednesday that it proposes to issue 8,391,069 common shares at a price of C$2.91 per share in a non-brokered private placement. The company expects aggregate gross proceeds of about C$24,418,010 from the placement.

The offering is scheduled to close on or about April 24, and is subject to a number of conditions, including, without limitation, receipt of all regulatory approvals, including the approval of the Toronto Stock Exchange, and completion of definitive documentation. The shares issued upon the closing of the private placement will be subject to a 4-month hold period.

The company said it will use the net proceeds from the offering towards the strategic plans for 2012 and to continue exploration of its portfolio of gold exploration properties in Guyana.

The Baupost Group, L.L.C., a Boston, Massachusetts based institutional investor, has agreed to purchase 7,891,069 of the common shares for C$22,963,010. Upon closing of the placement, Baupost will hold approximately 18.3 percent of the company's shares and will have the right to appoint an independent director to the board of directors of Guyana Goldfields.

The company's Chief Executive Officer and Interim President, Chief Operating Officer Patrick Sheridan has agreed to purchase 500,000 of the shares for C$1,455,000.

Guyana Goldfields has initiated a revised Feasibilty Study for the Aurora Gold Project which has the potential to improve the economics of the project. The revised Feasibility Study, which will investigate oppurtunities in the underground, open pit, civil works, processing and economics, is expected to complete in the fourth-quarter.

Register
To receive FREE breaking news email alerts for Guyana Goldfields J and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Apple Inc. said Monday that its fourth quarter profit rose 13% from last year, driven by strong sales of its iPhones and Mac computers. The company's quarterly earnings per share also came in above analysts' expectations as did its quarterly sales. At the same time, the company gave an upbeat revenue forecast for the current quarter, which includes the all important holiday season. Stocks moved notably higher over the course of the trading day on Monday, extending the strong upward move seen last Friday. The gains on the day continued the recent recovery by the markets, with the Nasdaq and the S&P 500 closing higher for the third consecutive session. While Republicans have largely tried to frame the upcoming midterm elections as a referendum on President Barack Obama, Sen. Ted Cruz, R-Tex., has joined the few offering guidance on what the GOP will do if it manages to retake control of the Senate.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.