Grandview Gold Inc.
CNQ : GVGI

Grandview Gold Inc.

September 15, 2005 15:11 ET

Grandview Gold Closes $700,000 Financing

TORONTO, ONTARIO--(CCNMatthews - Sept. 15, 2005) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES NOR FOR DESSIMINATION IN THE UNITED STATES

Grandview Gold Inc. (CNQ:GVGI) ("Grandview Gold" or the "Company") announced today the closing of a private placement of 570,320 units (the "Units") at a price of $1.25 per Unit and 20,000 flow-through shares (the "Flow-through Shares") at a price of $1.25 per Flow-through Share (collectively, the "Securities"), for aggregate proceeds of $737,900. Today's closing is the second closing of a previously announced private placement. The first closing was held on August 31, 2005 and raised aggregate proceeds of $2,623,880.

Each Unit consists of one Common Share of the Company plus one-half of a common share purchase warrant (each a "Warrant"). Each whole Warrant is exercisable to acquire one Common Share at an exercise price of $1.75 (the "Exercise Price") until September 15, 2006. The Securities issued under the private placement are subject to a four-month resale restriction and the entire placement is subject to CNQ approval.

Haywood Securities Inc. lead the syndicate of agents (collectively the "Agents"), which included Coniston Investment Corp. For their services in connection with the private placement, the Company paid to the Agents a cash commission equal to 8% of the gross proceeds and issued the Agents compensation options entitling the Agents to purchase that number of Units equal to 10% of the number of Securities sold.

Proceeds from the private placement will be used to help finance ongoing exploration of the Company's exploration properties and for general working capital purposes.

These securities have not been registered under the United States Securities Act of 1933 (the "US Securities Act"), as amended, or the securities laws of any state and may not be offered or sold in the United States or to US persons (as defined in Regulation S of the US Securities Act) unless an exemption from registration is available.

Grandview Gold Inc. is a gold exploration company, listed on the CNQ Exchange under the symbol "GVGI". Grandview Gold focuses on creating value for shareholders by exploring and developing high-grade gold properties in the major gold camps of North America. Details of Grandview Gold's projects are available on the Company's website at www.grandviewgold.com.

This news release contains forward-looking statements regarding the timing and content of upcoming programs and may be subject to regulatory approval. Actual results may differ materially from those currently anticipated in such statements.

Contact Information

  • Grandview Gold Inc.
    Raymond Pecoskie
    President & CEO.
    416 409 8245
    or
    Grandview Gold Inc.
    360 Bay Street, Suite 500
    Toronto, ON, Canada, M5H 2V6
    info@grandviewgold.com