Evanachan Limited

May 25, 2016 19:46 ET

Evanachan Limited Discloses Holdings in Unigold Inc.

TORONTO, ONTARIO--(Marketwired - May 25, 2016) - Evanachan Limited ("Evanachan") announces that, pursuant to a subscription agreement (the "Subscription Agreement") dated May 25, 2016 between Evanachan and Unigold Inc. ("Unigold" or the "Company"), it has acquired 3,333,334 units of the Company (the "Units") by way of private placement (the "Private Placement"). Pursuant to the terms and conditions of the Subscription Agreement, Evanachan paid C$0.30 per Unit for an aggregate acquisition cost of C$1,000,000.20. Each Unit acquired by Evanachan pursuant to the Private Placement consists of one common share of the Company and one common share purchase warrant of the Company (a "Warrant"). Each Warrant entitles Evanachan to purchase one common share of the Company until May 25, 2018 at a price of $C0.45. Evanachan is an investment company wholly-owned by Robert R. McEwen.

Immediately prior to the closing of the Private Placement, Evanachan did not own, directly or indirectly, any securities of Unigold. Upon the closing of the Private Placement, Evanachan owns 3,333,334 common shares of the Company and 3,333,334 Warrants, representing control or direction over a total of 6,666,668 common shares of the Company (assuming the full exercise of all the Warrants owned by Evanachan), or approximately 13.66% of the issued and outstanding common shares of the Company (on a partially diluted basis after giving effect to the full exercise of all Warrants owned by Evanachan).

Evanachan acquired the Units for investment purposes and may increase or reduce its investment in Unigold according to market conditions or other relevant factors. Evanachan currently has no other plans or intentions that relate to the acquisition or disposition of securities of Unigold.

This news release is being disseminated as required by National Instrument 62-103 - The Early Warning System and Related Take-Over Bids and Insider Reporting Issues in connection with the anticipated filing of an early warning report (the "Early Warning Report") within the prescribed period. A copy of the Early Warning Report will be available on SEDAR under Unigold's issuer profile at www.sedar.com or by contacting Mr. McEwen at 647-258-0395.

Evanachan's head office is located at:
150 King St. West, Suite 2800
Toronto, ON M5H 1J9
Unigold's head office is located at:
P.O. Box 936, STN Adelaide
Toronto, ON M5C 2K3

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.

Contact Information

  • Robert R. McEwen