Riverside Resources Inc.
TSX VENTURE : RRI

Riverside Resources Inc.

August 27, 2007 08:30 ET

Riverside Resources Completes Initial Public Offering-To Start Trading Monday, August 27, 2007

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 27, 2007) -

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

Riverside Resources Inc. (TSX VENTURE:RRI) announces that it will begin trading today, Monday, August 27, 2007. The initial public offering ("IPO") of 4,800,000 units raising gross proceeds of $2,400,000 closed on Wednesday, August 22, 2007. Canaccord Capital Corporation acted as agent for the IPO and the selling group included Haywood Securities Inc.

Business of Riverside

Riverside is focused on mineral exploration in the Americas where the technical team collectively has more than 60 years of exploration experience and has been part of more than five discoveries that have found mineral resources which have gone into production.

Riverside combines the experience of mine discovers John-Mark Staude (President-CEO), Carl Nelson (VP Exploration) and Miguel Heredia (Manager Mexico) with the financing and business management expertise of Rob Scott (CFO), Murray Seitz (Director) and Warwick Smith (Director). The directors of Riverside have experience developing significant shareholder value and have assembled a management team that can build a valuable and successful organization.

John-Mark Staude, President and CEO of Riverside, commented: "We are pleased to be trading and poised to take our next steps toward building a valuable resource company rich in assets. The IPO is an important step we committed to completing this summer and now we look forward to meeting our subsequent goals in drilling Scheelite Dome and finding additional quality properties that build the portfolio asset base to create lasting value for shareholders."

Securities Issued in Connection with IPO

A total of 4,800,000 units ("Units") at a price of $0.50 per Unit were issued to investors under the IPO, each Unit consisting of one common share ("Share") of the company and one-half of one common share purchase warrant ("Warrant") and each whole Warrant entitling the holder thereof to purchase one Share at a price of $1.00 for a period of 24 months, subject to earlier expiry in certain circumstances (as more fully described in the Prospectus).

Riverside issued 30,000 common shares to Canaccord as a corporate finance fee and issued 317,250 compensation warrants to Canaccord and selling group members, each compensation warrant exercisable into one common share of the company for a period of 24 months at a price of $0.50 per share. Canaccord acquired 183,832 agent units at a price of $0.50 per agent unit in lieu of a portion of its cash commissions, each agent unit having the same terms as the IPO Units.

Riverside also granted 615,000 incentive stock options to directors, executive officers and consultants, each option exercisable into one common share of the company for a period of five years at a price of $0.50 per share.

On completion of the IPO, Riverside's total common shares issued and outstanding is 13,192,724.

Please visit our website at http://www.rivres.com or www.sedar.com for more information about the company.

The securities issued by the company have not and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or the securities laws of any state of the United States, and may not be offered or sold in the United States absent registration or an applicable exemption therefrom under the 1933 Act and the securities laws of all applicable states.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Riverside Resources Inc.
    John-Mark Staude
    President & CEO
    (778) 327-6671
    or
    Riverside Resources Inc.
    Warwick Smith
    Director & Manager Media Communications
    (778) 327-6671 (Extn. 316)
    (778) 327-6675 (FAX)
    Email: reception@rivres.com
    Website: www.rivres.com