Pinetree Capital Ltd.
TSX : PNP

Pinetree Capital Ltd.

November 29, 2007 12:46 ET

Pinetree Capital Ltd. Acquires Securities of Mega Moly Inc.

TORONTO, ONTARIO--(Marketwire - Nov. 29, 2007) - Pinetree Capital Ltd. (TSX:PNP), announces that on November 29, 2007, it acquired ownership of 10,000,000 common shares ("Common Shares") of Mega Moly Inc. ("Mega Moly") and 10,000,000 common share purchase warrants (the "Warrants"). Each Warrant entitles the holder thereof to acquire one additional common share until November 29, 2008, at a price of $0.22. In the event that the Warrants are fully exercised, these holdings represent approximately 28.9% of the total issued and outstanding common shares of Mega Moly as of November 29, 2007, calculated on a partially diluted basis assuming the exercise of the Warrants only. As a result of this transaction, Pinetree and its joint actors held, as at November 29, 2007, an aggregate of 11,000,000 common shares of Mega Moly and convertible securities exercisable into 11,000,000 common shares of Mega Moly (the "Convertible Securities"), including the Warrants. Of these totals, Pinetree holds only the Common Shares and the Warrants directly. If Pinetree and its joint actors were to exercise all of the Convertible Securities, their combined ownership would represent a total of 22,000,000 common shares of Mega Moly, or approximately 31.3% of such shares outstanding as of November 29, 2007, calculated on a partially diluted basis assuming the exercise of the Convertible Securities only.

These transactions were made for investment purposes and Pinetree and each of its joint actors could increase or decrease their respective investments in Mega Moly depending on market conditions or any other relevant factor.

About Pinetree

Pinetree Capital Ltd. ("Pinetree" or the "Company") was incorporated under the laws of the Province of Ontario and is publicly traded on the Toronto Stock Exchange ("TSX") under the symbol "PNP". Pinetree is a diversified investment and merchant banking firm focused on the small cap market. Pinetree's investments are primarily in the resources sector: Uranium, Oil & Gas, Molybdenum, Precious Metals and Base Metals. Pinetree's investment approach is to build a macro position in a sector, find the micro-cap opportunities in that sector and work with those companies to build them to commercial production and create an exit.

For more details about Pinetree and its investments, please visit our website at www.pinetreecapital.com.

Contact Information

  • Investor Relations:
    Pinetree Capital Ltd.
    Larry Goldberg, C.A.
    Executive Vice President and Chief Financial Officer
    (416) 941-9600
    Email: ir@pinetreecapital.com
    or
    Media Relations:
    Pinetree Capital Ltd.
    Wanda Cutler
    Director of Corporate Communications
    (416) 860-1717
    Website: www.pinetreecapital.com