Sierra Geothermal increases private placement to a max of $7 million
Sierra Geothermal Power Corp. increases the size of this proposed private placement from the originally announced $4 million to up to $7 million.
In a release by the company, Sierra Geothermal Power Corp. (TSX VENTURE:SRA) “announces that it will increase the size of this proposed private placement from the originally announced $4,000,000 to up to $7,000,000. Sierra now proposes to sell up to 31,818,182 units (the “Units”). As announced previously, each Unit will consist of one common share and one non-transferable common share purchase warrant. Each Warrant will entitle the holder to purchase one additional common share at a price of $0.30 for a period of two years after closing.
Jacob Securities Inc. will act as lead agent. Together with any cooperating brokers, the agent will receive an aggregate cash commission in an amount equal to seven percent of the gross proceeds, together with such number of broker warrants as is equal to seven percent of the number of units sold. Each broker warrant will entitle the holder to purchase one common share at an exercise price of $0.22 for a period of two years after closing.
Closing of the private placement is anticipated to occur on or before October 9, 2009 and is subject to the receipt of applicable regulatory approvals including approval of the TSX Venture Exchange. The securities issued will be subject to a four month hold period.”
Source: Company release via Benzinga