CANRISE RESOURCES LTD. ANNOUNCES SPECIAL WARRANT FINANCING.CALGARY, Alberta--(BUSINESS WIRE)--Jan. 28, 1997--Canrise Resources Ltd. announced today that it has completed the sale of 2,250,000 special share purchase warrants (Special Warrants), at $7.00 per Special Warrant, for aggregate gross proceeds of $15,750,000. After commissions, legal and other expenses net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). of approximately $14,800,000 will be received from the sale of the Special Warrants. Underwriters assisting with the financing were FirstEnergy Capital Corp., Peters & Co. Limited, Goepel Shields & Partners Inc. and Sprott Securities Limited. Proceeds from the sale of the Special Warrants will be used by Canrise to partially fund the acquisition of certain properties and assets in the McLeod area of Alberta from Mobil Oil Canada Ltd. All proceeds from the sale of the Special Warrants have been deposited into escrow escrow Instrument, such as a deed, money, or property, that constitutes evidence of obligations between two or more parties and is held by a third party. It is delivered by the third party only upon fulfillment of some condition. to be released upon closing of the Mobil acquisition. The Mobil acquisition is scheduled to close on February 3, 1997. Canrise will file a preliminary prospectus Preliminary Prospectus A first draft registration statement filed by a firm prior to proceeding with an initial public offering of securities. The document, filed with the Securities & Exchange Commission, is intended to provide pertinent information to prospective shareholders respecting the distribution of common shares upon the exercise of the Special Warrants as soon as practicable, with a final prospectus Final Prospectus A legal document stating the price of a newly issued security, the delivery date, and other facts that are important for investors. Notes: The final prospectus must be given to every investor who purchases a new issue of registered securities. to be filed within 120 days. If a final prospectus is not filed within the 120 day period, each Special Warrant will entitle the holder thereof to acquire 1.1 common shares upon exercise. Canrise Resources Ltd. is an Alberta based corporation engaged in the exploration, development and acquisition of oil and natural gas properties in Western Canada
Western Canada, commonly referred to as the West . The Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. has neither approved or disapproved the information contained herein. CONTACT: Peter J. Kurceba President and Chief Executive Officer 403/262-3385 (1-888 toll free) Fax: 403/262-4518 (1-888 toll free) or David M. Fisher Vice President, Finance and Chief Financial Officer 403/232-9225 Fax: 403/262-4518 |
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