Wellgreen Platinum intends to complete an equity financing of $1.93 million.
Wellgreen Platinum (formerly Prophecy Platinum) owns the Shakespeare PGM, nickel and copper mine located about 70 km west of Sudbury near the town of Webbwood. Its other properties include advanced projects in the Yukon and Manitoba.
The private placement will involve the issuance of up to 3,521,339 units of the company, at a price of $0.55 per unit, with each unit comprised of one common share of the company and one common share purchase warrant to purchase a share (warrant).
Each warrant is exercisable for one share for a period of 36 months following the closing of the private placement, at a price of $0.80, subject to the right of the company to accelerate the expiry date of the warrants to a period of 30 days if, at any time after May 1, 2014, the closing price of the shares on the TSX Venture Exchange equals or exceeds $1.20 for a period of 10 consecutive trading days.