TransactionsAllana Potash Corp. Closes $38 Million FinancingPublished: 03/03/2011 By Chad Accursi, Nancy Choi, Myroslav Chwaluk, John P. Vettese On March 1, 2011, Allana Potash Corp. closed an underwritten private placement financing of 20,700,000 common shares at $1.55 per share (the "Offering Price) for gross proceeds of $32,085,000 (the "Brokered Offering") and a non-brokered private placement of 4,022,748 common shares at the Offering Price with Liberty Metals & Mining Holdings, LLC, a subsidiary of Liberty Mutual Group and the Company's largest shareholder, who elected to exercise its participation rights for further gross proceeds of $6,235,259.40 (the "Non-Brokered Offering" and together with the Brokered Offering, the "Offering"). The Brokered Offering was led by Dundee Securities Ltd. as sole-bookrunner, together with Wellington West Capital Markets Inc. as co-lead underwriter and including Cormark Securities Inc. and Fraser Mackenzie Limited. In connection with the Brokered Offering, Allana Potash has paid the underwriters a cash commission and has issued the underwriters 1,035,000 broker warrants, representing 5.0% of the number of common shares sold. Each broker warrant shall entitle the holder thereof to acquire one common share of the company at a price of $1.55 until September 1, 2012. The securities issued pursuant to the Offering will be subject to a statutory hold or restricted period until July 2, 2011. The Offering remains subject to the receipt of applicable regulatory approvals including final approval of the TSX Venture Exchange Cassels Brock acted for Allana Potash Corp. with a team that included John Vettese (Securities and Mining), Chad Accursi (Securities and Mining), Nancy Choi (Securities and Mining), and Myroslav Chwaluk (Securities). Allana Potash Corp. is a publicly traded corporation focused on the acquisition and development of potash assets internationally with its major focus on a previously explored potash property in Ethiopia. |