NEW YORK, NEW YORK--(Marketwired - April 27, 2016) - Electrum Strategic Opportunities Fund L.P. ("Electrum") announces that pursuant to a private placement of Wellgreen Platinum Ltd. (the "issuer") which closed on April 27, 2016 (the "Closing"), Electrum subscribed for and purchased 36,000,000 units of the issuer (the "Units") at an aggregate subscription price of CAD$7,200,000 (the "Financing"). Each Unit is comprised of one common share in the capital of the issuer (a "Common Share") and one Common Share purchase warrant (a "Warrant"). Each Warrant shall entitle the holder thereof to purchase one Common Share at a price of CAD$0.27 until the five year anniversary of the date of its issuance.
Following the Closing of the Financing, Electrum holds: (i) 50,000,000 Common Shares, or 25.52% of the issued and outstanding Common Shares (assuming that an aggregate of 70,500,000 Units are issued in the First Tranche(1) and Second Tranche(2)); and (ii) 50,000,000 Warrants. Should Electrum exercise all of the Warrants, Electrum would hold 100,000,000 Common Shares, representing approximately 40.66% of the issued and outstanding Common Shares (assuming that an aggregate of 70,500,000 Units are issued in the First Tranche and Second Tranche and assuming exercise of all of the Warrants owned by Electrum and that no other securities, including those convertible into or exercisable for the issuer's securities, are issued, converted or exercised).
The Units referred to above were acquired for investment purposes and Electrum and/or one or more of its affiliates may, depending on market and other conditions, increase or decrease its beneficial ownership of Common Shares or other securities of the issuer whether in the open market, by privately negotiated agreement or otherwise.
Electrum is an "accredited investor" (as such term is defined in National Instrument 45-106 - Prospectus Exemptions adopted by the Canadian Securities Administrators ("NI 45-106")) because Electrum is a "person" (as such term is defined in NI 45-106) in respect of which all of the owners of interests, direct, indirect or beneficial, except the voting securities required by law to be owned by directors, are persons that are "accredited investors".
Electrum is located at 700 Madison Avenue, 5th Floor, New York, NY 10065, USA. A copy of the early warning report to which this news release relates can be obtained from Michael Williams (646-365-1600) or on the SEDAR profile of the issuer at www.sedar.com.
(1) 'First Tranche' and 'Second Tranche' have the meaning given to them in the issuer's press release of April 11, 2016.
(2) See Note 1.
Contact Information:
646-365-1600