SOURCE: InvestmentPitch

December 21, 2010 18:19 ET

Western Potash Corp. (WPX - TSX.V) Closes $20,000,200 Bought Deal Private Placement - Video News Alert Posted on

VANCOUVER, BC--(Marketwire - December 21, 2010) - Western Potash Corp. (the "Company") (WPX - TSX.V) is pleased to announce that it has closed its previously announced private placement bought deal offering. The Company sold 18,182,000 units (the "Units") at a price of $1.10 per Unit, for aggregate gross proceeds to the Company of $20,000,200 (the "Offering").'s video news alert discusses this project. If the link is unavailable, please visit, and enter "Western Potash" in the search bar.

Each Unit consists of one common share in the capital of the Company (each a "Common Share") and one-half of one Common Share purchase warrant (each whole Common Share purchase warrant, a "Warrant"). Each Warrant shall entitle the holder to purchase one Common Share of the Company at an exercise price of $1.75 at any time up to and including the close of business on June 21, 2013, being the day which is 30 months from the closing of the Offering. All securities issued under the Offering are subject to a hold period ending April 22, 2011.

The Offering was underwritten by a syndicate of underwriters co-led by Mackie Research Capital Corporation and Scotia Capital Inc. (collectively, the "Underwriters")

The net proceeds received by the Company from the sale of the Units will be used to advance the Company's Milestone Potash Development Project located in the Province of Saskatchewan, and for general working capital purposes.

In consideration for their services, the Underwriters have received a cash commission of 6.0% of the aggregate gross proceeds of the Offering. In addition, the Underwriters received an aggregate of 1,272,740 non-transferable Common Share purchase warrants (the "Compensation Warrants") each exercisable to acquire one Unit at a price of $1.10 per Compensation Warrant at any time up to and including the close of business on June 21, 2013, being the day which is 30 months from the closing of the Offering.

This news release does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. 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 or to, or for the account or benefit of, "U.S. persons," as such term is defined in Regulation S under the U.S. Securities Act, unless an exemption from such registration is available.

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(i) the releases contained herein are protected by copyright and other applicable laws; and

(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: InvestmentPitch via Thomson Reuters ONE


Contact Information

    Western Potash Corp
    J. Patricio Varas
    President and CEO
    Email Contact
    Barry Morgan
    Email Contact