Atacama Minerals Corp has signed an agreement with a syndicate of underwriters led by Cormark Securities to raise $50m in private placement financing.
The syndicate of underwriters includes BMO Capital Markets, GMP Securities and Scotia Capital, who will purchase 41,667,000 subscription receipts at a price of $1.20 each.
Each receipt is equal to one common share of the company without payment of additional consideration, upon completion of the acquisition of Sirocco Gold.
The offering is expected to close on 20 December 2011 and is subject to certain customary closing conditions.
Atacama Minerals has also confirmed that the terms of the previously announced private placement have been amended to provide for the issuance of 10 million shares at $0.69 per share, for gross proceeds of $6.9 million.
The company will use the net proceeds for the acquisition of mineral opportunities in South America and West Africa, and for other general corporate purposes.