Challenger Deep Capital Corp.
TSX VENTURE : CDE.P

Challenger Deep Capital Corp.

November 26, 2009 18:44 ET

Challenger Deep Announces Closing of Qualifying Transaction and Private Placement Financing

CALGARY, ALBERTA--(Marketwire - Nov. 26, 2009) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR THROUGH UNITED STATES WIRE SERVICES.

Challenger Deep Capital Corporation ("Challenger" or the "Corporation") (TSX VENTURE:CDE.P), a capital pool company listed on the TSX Venture Exchange (the "Exchange"), is pleased to announce that it has completed its qualifying transaction with Ansell Capital Corp. ("Ansell") relating to the assignment and novation of all Ansell's rights under two mining lease with option to purchase agreements relating to the Redrock and Battle Mountain gold projects, in Nevada, USA. A filing statement (the "Filing Statement") describing the transaction (the "Qualifying Transaction") was filed by Challenger on November 17, 2009 and is accessible under the Corporation's profile on SEDAR at www.sedar.com.

Concurrent with the completion of the Qualifying Transaction, Challenger completed a non-brokered private placement (the "Private Placement") of 3,529,412 units (each a "Unit") at a price of $0.085 per Unit for aggregate gross proceeds of $300,000. Each Unit consists of one (1) Challenger Common Share and one (1) Challenger Common Share purchase warrant exercisable at $0.165 for five (5) years after the date of issuance. The securities issued pursuant to the Private Placement are subject to a four month hold period. Following completion of its Qualifying Transaction and the Private Placement, Challenger has 14,529,412 Common Shares issued and outstanding.

Challenger is pleased to announce the appointment of Mr. J. Garry Clark to the Board of Directors and as Vice President, Exploration. Mr. Clark is a Professional Geologist with over 30 years experience in the mineral exploration business. Mr. Clark is also the Executive Director of the Ontario Prospectors Association.

Challenger is also pleased to announce the appointment of Mr. Ian Thompson as the Chief Financial Officer of the Corporation. Mr. Thompson is a Chartered Accountant.

Mr. Brent Stevenson, a current director of the Corporation, has also been appointed as the Corporate Secretary.

Challenger also announces that it has granted options to purchase 500,000 common shares of the Corporation to certain directors and officers of the Corporation. The options shall vest immediately and are exercisable at a price of $0.13 per common share for a period of five years. The options have been granted pursuant to the Corporation's stock option plan, which was approved by the shareholders of the Corporation at the annual and special meeting held on June 10, 2009.

Final approval of the Qualifying Transaction is expected to be received from the Exchange upon the submission of final documentation in a form acceptable to the Exchange.

THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO SELL ANY OF THE SECURITIES DESCRIBED HEREIN IN THE UNITED STATES. THESE SECURITIES HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Challenger Deep Capital Corp.
    Paul McKenzie
    Chief Executive Officer and Chief Financial Officer
    (604) 642-2625
    (604) 642-2629 (FAX)
    www.sedar.com