Dacha Capital inc.
TSX VENTURE : DAC

Dacha Capital inc.

February 02, 2010 07:30 ET

Dacha Capital Announces Private Placement Financing For Up to $25 Million

TORONTO, ONTARIO--(Marketwire - Feb. 2, 2010) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO U.S. NEWSWIRE SERVICES

DACHA CAPITAL INC. (TSX VENTURE:DAC) ("DAC" or the "Company") is pleased to announce that it has engaged a syndicate of underwriters Co-led by Mackie Research Capital Corporation and Dundee Securities Corporation and including CIBC World Markets Inc and Cormark Securities Inc in connection with a private placement financing (the "Financing") for aggregate proceeds of up to $25,000,000 on a best efforts basis, with pricing to be determined in the context of the market.

The Company intends to use the net proceeds from the financing to make opportunistic investments in physical strategic commodities, certain of which are currently unavailable, directly to investors. The Company intends to acquire a strategic inventory of these metals with a primary focus on Rare Earth Elements. Dacha will increase its Net Asset Value by holding, selling and otherwise transacting in physical amounts of such minerals.

In connection with the Financing, the Company has agreed to pay the agents a commission of 6% of the gross proceeds raised and issue the agents compensation warrants that entitle the agents to acquire that number of common shares of the Company that equal 6% of the number of securities issued on the Financing.

About Dacha

Dacha is an investment holding company. Its shares are listed on the TSX Venture Exchange under the symbol "DAC".

The primary investment objective of the Corporation is to achieve capital appreciation by making opportunistic, special situation investments as deemed attractive by the Board of Directors from time to time across various sectors. Presently, the Board of Directors believes there are dominant, long term global trends that are creating opportunities for capital appreciation through investments in the resource sector. To this end, the Corporation may look to make investments in minerals that are considered undervalued or strategic to global growth and by investing in, holding, selling and otherwise transacting in physical amounts of such minerals. The Corporation's investment strategy may include investments in physical, undervalued, or strategic commodities, certain of which are currently unavailable to investors.

Except for statements of historical fact relating to the Company, certain information contained herein constitutes ''forward-looking information'' under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the proposed use of proceeds, ability to attract financing, proposed investment strategy of the Company, general investment trends, and receipt of all regulatory approvals. Generally, forward-looking information can be identified by the use of forward-looking terminology such as ''plans'', ''expects'' or ''does not expect'', ''is expected'', ''budget'', ''scheduled'', ''estimates'', ''forecasts'', ''intends'', ''anticipates'' or ''does not anticipate'', or ''believes'', or variations of such words and phrases or statements that certain actions, events or results ''may'', ''could'', ''would'', ''might'' or ''will be taken'', ''occur'' or ''be achieved''. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made. Estimates regarding the anticipated impact of the appointment are based on previous professional accomplishments and competencies. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Dacha to be materially different from those expressed or implied by such forward-looking information. Although management of Dacha has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Dacha does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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

  • Dacha Capital Inc.
    Scott Moore
    President and CEO
    (416) 861-5903
    or
    Dacha Capital Inc.
    Stan Bharti
    Executive Chairman
    (416) 861-5876
    smoore@dachacapital.com