Cadillac Ventures to raise $7 million through brokered financing

Junior miner Cadillac Ventures (CVE:CDC) reported on Wednesday that it plans to raise $7 million in a brokered private financing and use the funds to advance its Thierry mine, in Ontario.

The miner said it has hired a syndicate of agents led by NCP Northland Capital Partners Inc. and Stifel Nicolaus Canada, and Secutor Capital Management Corp to finish the financing on a reasonable efforts basis.

The company plans to sell 38.3 million units for 21 cents each and flow-through shares for a cost of 23 cents each. 

Each unit consists of one common share and one-half of one common share purchase warrant, of Cadillac.

Each whole warrant gives the holder the right to buy one common share for 35 cents a share for a period of 24-months, following the closing date.

Cadillac also said that it has agreed to grant the syndicate an option to raise the proceeds by up to 15 percent. This option is exercisable up to 48 hours before closing of the offering.

Proceeds will be used to fund a preliminary economic assessment on the Thierry property by early next year, while
profit from the flow-through shares will be used for Canadian exploration expenses also for the Thierry property.

The financing should close on Nov. 15, and all securities under the offering will be subject to a four month hold
period.

The Thierry property, located near Pickle Lake, Ontario, is a past producing mine with a current resource estimate of 8.3 million tonnes in the measured and indicated categories with a grading of 1.73 percent copper, 0.20 percent
nickel.
The deposit remains open at depth and to the west.