Silver Tiger Metals to Raise up to CA$87 Million in a Private Placement of Units
Silver Tiger Metals (SLVR.TO) plans to raise CA$87 million from a private placement financing of 87-million units priced at CA$1.00 each, the company said after trade on Monday.Each unit is made up a share and half of one two-year warrant to buy a share at CA$1.35. The underwriters have also been granted a 15% over-allotment option, which, if fully exercised, would increase financing proceeds to CA$100 million.Proceeds would be used to fund exploration and development expenditures at the El Tigre Project in Mexico,.Silver Tiger Metals also said the capital expenditure estimate for El Tigre has jumped by $37 million, to $124 million. It added that cost escalation in the mining industry over the last few years added an estimated 10% to the current estimate.The offering is scheduled to close on Oct. 13.Silver Tiger Metals shares closed unchanged at CA$1.17 on the Toronto Stock Exchange.
