Hathor Exploration Limited
TSX VENTURE : HAT

Hathor Exploration Limited

May 28, 2009 08:37 ET

Hathor Exploration Limited Announces $8 Million Bought Deal Flow-Through Share Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 28, 2009) -

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

Stephen G. Stanley, the President of Hathor Exploration Limited (HAT: TSX-V, the "Company"), is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by Salman Partners Inc. ("Salman Partners") and including Canaccord Capital Corp., Cormark Securities Inc., Dundee Securities Corp., Raymond James Ltd. and Research Capital Corp. pursuant to which the syndicate has agreed to purchase 3,333,500 flow-through common shares (the "FT Shares") of the Company on a bought deal private placement basis at a price of $2.40 per FT Share for gross proceeds of $8,000,400 (the "Offering"). The Underwriters shall be entitled to a cash commission equal to 5.5% of the gross proceeds of the Offering. In addition, the Company shall grant the Underwriters warrants (the "Underwriters' Warrants") in the amount that is equal to 5.5% of the number of FT Shares sold pursuant to the Offering. Each Underwriters' Warrant shall be exercisable for one common share at a price of $3.00 per common share, for a period of two years following the Closing Date.

The Underwriters shall also have the option, exercisable prior to the closing of the Offering, to purchase up to an additional 833,500 FT Shares at the issue price under the Offering for additional gross proceeds of up to $2,000,400. The Offering is scheduled to close on or about June 16, 2009 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange. In accordance with securities legislation currently in effect, the FT Shares and Underwriters' Warrants will be subject to a "hold period" of four months plus one day from the date of closing.

The proceeds of the Offering will be used to fund further exploration of the Company's Midwest Northeast uranium property, Saskatchewan, and other exploration properties. The securities described herein have not been registered under the U.S. Securities Act of 1933, as amended (the "Act"), and may not be offered or sold in the United States unless registered under the Act or unless an exemption from registration is available.

Hathor Exploration Limited

Stephen G. Stanley, Director

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 unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

Contact Information

  • Hathor Exploration Limited
    Stephen G. Stanley
    Director
    604-684-6707
    604-684-9277 (FAX)
    www.hathor.ca