The Pacific Road Resources Funds have purchased 1,807,229 units issued by First Bauxite by way of private placement at a price of CAD0.83 per unit for gross proceeds to First Bauxite of CAD1,500,000.
First Bauxite is a Canadian natural resources company engaged in the exploration and development of bauxite deposits.
Each unit consists of one common share in the capital of the company and one half of one common share purchase warrant, with each warrant entitling the holder to purchase one common share for two years at a price of CAD1.075 per share.
The common shares included in the units purchased by PRRF, together with the common shares for which the warrants included in such units are exercisable, represent approximately 5.2 per cent of the issued and outstanding common shares of First Bauxite.
Following closing of the transaction, PRRF holds 1,807,229 common shares, 903,614 common share purchase warrants and notes convertible at any time for 9,638,554 common shares of First Bauxite.
Assuming full exercise of the warrants and convertible notes held by PRRF, PRRF would hold a total of 12,349,397 common shares, representing approximately 20 per cent of the common shares of First Bauxite.
PRRF purchased the securities for investment purposes and may or may not purchase or sell securities of First Bauxite in the future on the open market or in private transactions, depending on market conditions and other factors.
The Pacific Road Resources Funds are private equity funds investing in the global mining industry.
