Cartier Resources Inc.
TSX VENTURE : ECR

Cartier Resources Inc.

June 04, 2009 08:27 ET

Cartier Resources Inc. Announces a $1,250,000 Financing

VAL-D'OR, QUEBEC--(Marketwire - June 4, 2009) - Cartier Ressources Inc. ("Cartier") (TSX VENTURE:ECR) is pleased to announce that it intends to carry out a public offering in Quebec to raise up to $1,253,080 through the sale of Units by way of a short form offering document in accordance with Policy 4.6 of the TSX Venture Exchange (the "Offering"). The Offering will be conducted on a commercially reasonable efforts basis.

The Offering consists of the issuance of a minimum of 278 Units "A" and a maximum of 926 Units "A" and 230 Units "B".

Each Unit "A", at a price of $1,080 per unit, is comprised of 4,000 flow-through common shares at a price of $0.27 per share.

Each Unit "B", at a price of $1,100 per unit, is comprised of 5,000 common shares at a price of $0.22 per share and 5,000 common share purchase warrants, each warrant entitling the holder to subscribe for one (1) common share at a price of $0.30 for a period of two (2) years following the closing date.

However, if, at any time commencing the 20th trading day after the closing date, the weighted average trading price of the common shares of Cartier, is or exceeds $0.35 for a period of 20 trading days, Cartier may accelerate the expiry date by giving prior notice to the holders of warrants within 10 days immediately following such 20 trading day period. In such event, the warrants, if unexercised, will expire on the 30th calendar day following the date on which such notice will be deemed to have been received by such holders. The notice will be deemed to be received five (5) days following its sending.

Industrial Alliance Securities Inc. (the "Agent") will act as agent for the offering. Cartier will pay the Agent a fee equal to 8.5% of the gross proceeds from the sale of Units sold pursuant to the offering. In the event that certain institutional investors subscribes for the "B" Units, the commission payable to the Agent will be reduced to 5.5% of the gross proceeds arising from such subscriptions.

In addition, the Agent will receive non transferable compensation options entitling to subscribe for such number of common shares of Cartier equal to 8% of the total number of shares sold pursuant to the offering, exercisable in whole or in part on the same terms and conditions as the warrants included in the Units "B".

The Offering is subject to a number of conditions, including the completion of due diligence, execution of formal documentation and receipt of applicable regulatory approvals.

The proceeds of the Offering combined, with existing working capital, will be used by Cartier to conduct exploration programs in 2009 and 2010 on its Kinojevis Property and for general working capital.

The TSX Venture Exchange does not assume any responsibility for the adequacy or accuracy of this press release.

Contact Information

  • Cartier Resources Inc.
    Philippe Cloutier
    President and CEO
    819-874-1331/ Toll free: 877-874-1331
    819-874-3113 (FAX)