Northern Dynasty Minerals Ltd (NYSEMKT:NAK) Kicks Off The Fresh Year With $25 Million Bought Deal

0
3136
Northern Dynasty Minerals Ltd

Northern Dynasty Minerals Ltd (NYSEMKT:NAK) recently announced a pact with Cantor Fitzgerald Canada Corporation, TD Securities Inc. and BMO Capital Markets. The company announced entering into an agreement with the aforesaid companies on 11 January 2017. The two shall act as the co-lead underwriters and joint bookrunners, respectively so as to purchase Northern Dynasty Minerals Ltd’s 13,520,000 common shares. The price of share has been decided at US$1.85 per Offered Share. As per the agreement, there shall be aggregate gross proceeds worth US$25.0 million.

The underwriters presented with an Over-Allotment Option

Northern Dynasty also announced that Cantor Fitzgerald Canada Corporation, TD Securities Inc. and BMO Capital Markets will also be presented with an opportunity of over-allotment option, which can be implemented either fully or partially. These companies have an open option to buy 2,028,000 Offered Shares, furthermore. The offer from Northern Dynasty shall remain valid up to 30 days or a month, at an issue price of US$1.85 per share. This would allow Northern Dynasty, an additional gross proceed worth around US$3.75 million.

Northern Dynasty Minerals Ltd said that the underwriters will also be liable to receive cash commission of 5% of total gross proceeds of these offerings (including the amount from Over-Allotment Option).

Offered shares available across Canada

The company has also announced that these offered shares shall be available across Canada in all provinces, barring only Quebec. Also, these shares are available for purchase in the U.S. Northern Dynasty also made it clear that these shares are not at the disposal of any regulator for approval or disapproval.

The offering shall be concluded in the days to come, most probably by 26 January 2017. The company expects that the cash received by it through the proceeds of these offerings will help it in forwarding the multi-dimensional strategy it has on the way. It is expecting to address a few Acts through the proceeds received from offerings.

This report is for information purposes only, and is neither a solicitation or recommendation to buy nor an offer to sell securities. Financials Trend is not-a-registered-investment-advisor. Financials Trend is not a broker-dealer. Information, opinions and analysis contained herein are based on sources believed to be reliable, but no representation, expressed or implied, is made as to its accuracy, completeness or correctness. The opinions contained herein reflect our current judgment and are subject to change without notice. Financials Trend accepts no liability for any losses arising from an investor's reliance on the use of this material. Financials Trend sometimes gets compensated up to one hundred and fifty thousand dollars per month for featuring particular stocks. See site disclaimer for complete compensation. Financials Trend and its affiliates or officers currently hold no shares of these stocks. Financials Trend and its affiliates or officers will purchase and sell shares of common stock of these stocks, in the open market at any time without notice. Financials Trend will not update its purchases and sales of these stocks in any future postings on Financials Trend's websites. Certain information included herein is forward-looking within the context of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements concerning manufacturing, marketing, growth, and expansion. The words "may", "would," "will," "expect," "estimate," "anticipate," "believe," "intend," " project," and similar expressions and variations thereof are intended to identify for ward-looking statements. Such forward- looking information involves important risks and uncertainties that could affect actual results and cause them to differ materially from expectations expressed herein. *Financials Trend does not set price targets on securities. Never invest into a stock discussed on this web site or in this email alert unless you can afford to lose your entire investment.