Argex completes non-brokered private placement with Ressources Québec Inc.
This release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or for dissemination in the United States.
MONTREAL, Aug. 22, 2013 /CNW Telbec/ - Argex Titanium Inc. (TSXV: RGX) ("Argex") is pleased to announce that it has completed its previously announced $5 million non-brokered private placement with Ressources Québec Inc. ("Ressources Québec"), a subsidiary of Investissement Québec. Argex issued a total of 4,878,049 common shares to Ressources Québec at a price of $ 1.025 per share, which represents the volume-weighted average closing price of Argex's shares on the TSX Venture Exchange for the 20 trading days prior to the date of signing the Letter of Intent on July 8, 2013. No warrants were issued as part of this private placement.
"We are very pleased Ressources Québec has taken this initial position in our company," Roy Bonnell, President and Chief Executive Officer of Argex, commented. "Ressources Québec has indicated in this process its interest in participating in the project financing of the full scale production at the first industrial-sized plant in Valleyfield, Québec. We are confident Ressources Québec will be a very important partner as we move forward."
The shares issued at closing are subject to a four-month "hold period" under applicable Canadian securities legislation and the policies of the TSX Venture Exchange. Upon closing of the private placement, there are 126,812,220 common shares of Argex issued and outstanding.
The remaining $5M private placement from a U.S. based investment fund manager and current Argex shareholder is expected to close shortly but no later than September 16, 2013.
About Investissement Québec
Investissement Québec's mission is to foster the growth of investment in Québec, thereby contributing to economic development and job creation in every region. The Corporation offers businesses a full range of financial solutions, including loans, loan guarantees and equity investments, to support them at all stages of their development. It is also responsible for administering tax measures and prospecting for foreign investment.
About Argex Titanium Inc.
Argex Titanium Inc. is a near-term producer of Titanium Dioxide (TiO2). With a primary goal of advancing rapidly towards production, Argex has adopted a simple and low-risk strategy for the scale-up of its proprietary process that allows it to produce high-purity pigment-grade TiO2 directly from run-of-mine material. The closed-loop process is environmentally friendly and produces minimal inert tailings.
Argex is pleased to have selected Valleyfield, Québec as the location for its Research & Development centre and first industrial-sized production facility. The location of the site can be viewed at Argex Valleyfield.
This news release contains statements that may constitute "forward-looking information" or "forward-looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking information and statements may include, among others, statements regarding the future plans, costs, objectives or performance of Argex, or the assumptions underlying any of the foregoing. In this news release, words such as "may", "would", "could", "will", "likely", "believe", "expect", "anticipate", "intend", "plan", "estimate" and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, or if any of them do so, what benefits Argex will derive. Forward-looking statements and information are based on information available at the time and/or management's good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond Argex's control. These risks, uncertainties and assumptions include, but are not limited to, those described under "Risk Factors" in Argex's Annual Information Form for the fiscal year ended December 31, 2012, which is available on SEDAR at www.sedar.com; they could cause actual events or results to differ materially from those projected in any forward-looking statements. Argex does not intend, nor does Argex undertake any obligation, to update or revise any forward-looking information or statements contained in this news release to reflect subsequent information, events or circumstances or otherwise, except if required by applicable laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Argex Titanium Inc.For further information:
Mark Billings, Chief Financial Officer
Argex Titanium Inc.
514-843-5959 x 144
Argex Titanium Inc.
The Howard Group
Sarah Moreau, Consultant, Financial & Regulatory Affairs
514 395-0375, ext.234