TORONTO, ONTARIO--(Marketwire - Feb. 28, 2013) -
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
Cadillac Ventures Inc. (TSX VENTURE:CDC) ("Cadillac" or the "Company") is pleased to announce the closing of its previously announced private placement offering of units ("Units") of the Company (see the Company's news release dated February 8, 2013). Pursuant to the offering, 8,333,333 Units were sold at a price of $0.06 for gross proceeds of $500,000.
Each Unit consists of one common share of Cadillac and one common share purchase warrant, exercisable for 30 months following closing for an additional common share at $0.10.
Urion Mining International B.V. ("Urion"), an existing shareholder of the Company which held, directly and indirectly, approximately 24% of Cadillac's issued and outstanding shares prior to closing, subscribed for 100% of the offering. Pursuant to Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"), the issuance of Units to Urion constituted a "related party transaction". The Company was exempt from obtaining both a formal valuation and minority shareholder approval in connection with the private placement to Urion because neither the fair market value of the common shares and warrants issued to Urion under the offering, nor the consideration for such securities, exceeded 25% of the Company's market capitalization as calculated in accordance with MI 61-101.
The Company intends to use the proceeds from the offering for general working capital purposes.
All securities issued under the offering are subject to a statutory hold period in Canada expiring on June 29, 2013.
Cadillac is a development-focused copper company currently advancing its 100% owned Thierry Property, near Pickle Lake, Ontario. The Thierry Property consists of the past producing Thierry Mine and hosts two NI 43-101 compliant resources: Thierry Mine and K1-1.
In addition, Cadillac also holds a 51% interest in the Burnt Hill Project, a historic tungsten/tin mine taken to test production by Mr. Norman Brewster P.Geo for Canadian International Paper during the early 1980s. Cadillac looks forward to resuming the development of this project.
For more information regarding Cadillac, please visit the Company's website at www.cadillacventures.com.
Neither 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.