TORONTO, Nov. 4, 2011 /CNW/ - Gentor Resources, Inc. (the "Company")
(OTCQB - "GNTO") announces that its application to list its common
shares on the TSX Venture Exchange has been accepted, and that such
shares are expected to commence trading on the TSX Venture Exchange on
November 7, 2011 under the trading symbol "GNT".
The Company also announces that it has completed its previously
announced brokered private placement equity financing (the "Brokered
Financing") (reference is made to the Company's July 18, 2011 press
release). Under the Brokered Financing, which was conducted by a
Canadian securities dealer (the "Agent") as agent, the Company has
issued 2,163,000 units of the Company at a price of Cdn$1.00 per unit
for total gross proceeds of Cdn$2,163,000. Each such unit consists of
one common share of the Company and one-half of one warrant of the
Company, with each full warrant entitling the holder to purchase one
common share of the Company at a price of Cdn$1.25 for a period of one
year from the date of issuance of the warrant.
In consideration for its services, the Company paid to the Agent a cash
fee equal to 8% of the gross proceeds of the Brokered Financing, and
granted to the Agent compensation options (the "Compensation Options")
equal to 8% of the number of units sold under the Brokered
Financing. Each Compensation Option entitles the holder to purchase one
common share of the Company at a price of Cdn$1.00 for a period of two
years from the date of issuance of the Compensation Option.
The Company has also completed a non-brokered private placement equity
financing (the "Non-Brokered Financing"), pursuant to which the Company
issued 1,222,500 units of the Company at a price of Cdn$1.00 per unit
for total gross proceeds of Cdn$1,222,500. Each such unit consists of
one common share of the Company and one warrant of the Company, with
each such warrant entitling the holder to purchase one-half of one
common share of the Company for a period of one year from the date of
issuance of the warrant, provided that a minimum of two such warrants
must be exercised by the holder thereof at any one time in order that
any such exercise thereof will result in the purchase of one common
share of the Company at a price of Cdn$1.25.
The Company intends to use the net proceeds from the Brokered Financing
and the Non-Brokered Financing for exploration and development
activities related to the Company's mineral properties in Oman and for
working capital and general corporate purposes.
These securities have not been and will not be registered under the
United States Securities Act of 1933, as amended, (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within
the United States or to U.S. Persons unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption
from such registration is available. This press release does not
constitute an offer to sell or a solicitation of an offer to buy any of
Taking into account the securities issued under the Brokered Financing
and Non-Brokered Financing, the Company currently has outstanding
62,753,840 common shares, warrants to purchase a total of 22,898,090
common shares of the Company, 173,040 Compensation Options and stock
options to purchase a total of 1,125,000 common shares of the
Company. Additional information relating to the Company is included in
the Company's TSX Venture Exchange listing application, a copy of which
will be available upon listing under the Company's profile on SEDAR (www.sedar.com).
This press release contains certain statements that may be deemed
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. All statements in this press
release, other than statements of historical fact, that relate to
events or developments that the Company expects to occur, are
forward-looking statements. Forward-looking statements are statements
that are not historical facts and are generally, but not always,
identified by the words "expects", "plans" "anticipates", "believes",
"understands", "intends", "estimates", "projects", "potential" and
similar expressions, or that events or conditions "will", "would",
"may", "could" or "should" occur. Such statements, including those
relating to the Company's development and expected use of proceeds from
the financings, are not guarantees of future performance and actual
results may differ materially from those in the forward-looking
SOURCE Gentor Resources Inc.
For further information:
For further information, please visit our website at www.gentorresources.com, or contact: Dr. Peter Ruxton, President & CEO, United Kingdom Tel: + 44 (0) 7786 111103; or Arnold T. Kondrat, Executive Vice President, Toronto, Ontario, Tel: (416) 366-2221 or 1 (800) 714-7938.