Quest Capital Corp.
TSX : QC
AMEX : QCC
AIM : QCC

Quest Capital Corp.

April 06, 2006 14:07 ET

Quest Capital Corp. Announces $50,000,000 'Bought Deal' Financing

TORONTO, ONTARIO--(CCNMatthews - April 6, 2006) -

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

Quest Capital Corp. (TSX:QC)(AMEX:QCC)(AIM:QCC) is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by GMP Securities L.P., which have agreed to purchase, on a bought deal basis 15,625,000 Common Shares of the Company at a purchase price of $3.20 per Common Share, for aggregate gross proceeds of approximately $50,000,000. The underwriters will also have an option, exercisable for a period of 30 days following the closing date, to purchase up to an additional 2,343,750 Shares to cover over-allotments and for market stabilization purposes. The Company intends to use the net proceeds for general corporate purposes.

The common shares to be issued under this offering will be offered by way of a short form prospectus in all of the provinces in Canada and in the United States on a private placement basis pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended.

The offering is scheduled to close on or about April 27, 2006 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto Stock Exchange, the AIM market of the London Stock Exchange and the American Stock Exchange and the securities regulatory authorities.

For more information about Quest, please visit our website (www.questcapcorp.com) or visit www.sedar.com.

Contact Information

  • Quest Capital Corp.
    A. Murray Sinclair
    Managing Director
    (604) 689-1428 or Toll free: (800) 318-3094
    or
    Quest Capital Corp.
    Mark Monaghan
    Vice President
    (416) 367-8383