AXMIN Inc.
TSX VENTURE : AXM

AXMIN Inc.

June 13, 2008 12:14 ET

AXMIN Announces Completion of Non-Brokered Private Placement

TORONTO, ONTARIO--(Marketwire - June 13, 2008) - AXMIN Inc. (TSX VENTURE:AXM) is pleased to announce that it has closed the third and final tranche of its previously announced non-brokered private placement. Today's closing consisted of 9,427,372 Units at a price of Cdn$0.40 per Unit, for aggregate gross proceeds of Cdn$3,770,948.80. Each Unit consists of one common share plus one-half of one common share purchase warrant. Each whole common share purchase warrant entitles the holder to purchase one additional common share of AXMIN at a price of Cdn$0.57 expiring on June 13, 2010.

As previously announced, the company's major shareholder, AOG Holdings BV ("AOG"), took 15,000,000 Units in the first tranche of the placement and insiders took 125,000 Units of the second tranche of the placement. After completion of the placement today, AOG holds 95,108,237 common shares and 7,500,000 common share purchase warrants, representing approximately 38.72% of AXMIN's issued and outstanding common shares (approximately 39.37% assuming the exercise of all warrants in full).

The placement is a related party transaction under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions because AOG is a controlling shareholder of AXMIN and the Chairman of AXMIN, Jean Claude Gandur, is a senior officer and director of an affiliate of AOG. The placement was approved by all of the non-interested directors of AXMIN and the placement is exempt from the related party valuation and minority securityholder approval requirements of MI 61-101 on the basis that the placement has a fair market value of less than 25% of the market capitalization of AXMIN.

The entire placement was for 30,000,000 Units for aggregate gross proceeds of Cdn$12 million. The net proceeds of the placement will be used for ongoing development and exploration programs and for general corporate purposes.

Securities acquired under the placement are subject to a four-month hold period. Post-completion of the placement AXMIN has a total of 245,613,234 common shares issued and outstanding.

About AXMIN

AXMIN is a Canadian gold and iron ore exploration and development company with a strong focus on central and West Africa. AXMIN's goal is to begin production at its Passendro Gold Project, Central African Republic in the third quarter of 2010. AXMIN is well positioned to grow in value as it develops its exceptional project pipeline of gold and iron ore projects in parallel pursuing new opportunities to increase its asset base. For more information regarding AXMIN visit our website at www.axmininc.com.

This press release includes certain "Forward-Looking Statements." All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of AXMIN, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from AXMIN's expectations are disclosed under the heading "Risk Factors" and elsewhere in AXMIN documents filed from time-to-time with the TSX Venture and other regulatory authorities.

THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact Information

  • AXMIN Inc.
    Mario Caron
    President & CEO
    (416) 304-6608 (Direct)
    or
    AXMIN Inc.
    Judy Webster
    Manager Investor Relations
    (416) 368-0993
    Email: ir@axmininc.com
    Website: www.axmininc.com