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Arianne Phosphate Inc. (TSXV:DAN,FWB:JE9N,OTCBB:DRRSF) has closed the CDN$2.5 million credit facility with Mercury Financing Corp., as well as its previously announced private placement of $3,552,800.
As quoted in the press release:
Under the terms of the credit facility, Arianne can draw up to Cdn$2.5 million and all amounts drawn will bear interest at a variable rate equal to 500 basis points over 3 month CDOR Rate. Additionally, the Company issued the Lender 1 million non-transferable warrants (the “Warrants”) which are subject to vesting periods imposed by the TSX Venture Exchange (the “Exchange”) (please refer to the July 12, 2013 press release for details on terms and conditions of the Warrants). Following an initial draw of $1,275,000 by the Company under the credit facility, 508,475 Warrants have vested and the remaining 491,525 warrants shall vest as additional amounts are drawn by the Company.
… Arianne is also pleased to announce the completion of its previously announced private placement. In total, Arianne issued 2,435,000 units (the “Units”) at a price of $1.10 per Unit ($2,678,500) and 624,500 flow-through shares at a price of $1.40 per share ($874,300), for total gross proceeds of $3,552,800.
Arianne Phosphate CEO Brian Kenny said:
Closing these transactions is a significant step forward for Arianne and the development of our world-class Lac à Paul phosphate deposit,” said . “As we near the final stage of the Feasibility Study, this current round of financing allows us to gear up for the permitting process and undertake other key activities that move the project forward.
Click here to read the Arianne Phosphate Inc. (TSXV:DAN,FWB:JE9N,OTCBB:DRRSF) press release
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