Cayden Resources Inc. Announces CAD$20.2 Million Bought Deal Financing


VANCOUVER, Dec. 15 /CNW/ - Cayden Resources Inc. (TSX-V:CYD, or the "Company") is pleased to announce that it has entered into an agreement with a syndicate of underwriters co-led by Canaccord Genuity Corp. and Clarus Securities Inc. (the "Underwriters"), pursuant to which the Underwriters have agreed to purchase, on a bought deal basis, pursuant to a short form prospectus, 4,500,000 common shares (the "Common Shares") of the Company at a price of CAD$4.50 per share for gross proceeds of CAD$20,250,000 (the "Underwritten Offering").  In addition, the Company will grant the Underwriter an over-allotment option, exercisable for a period of up to 30 days after the closing of the Underwritten Offering, to purchase from the Company up to an additional 675,000 common shares at CAD$4.50 per share to cover over-allotments (the "Over-Allotment Option", and together with the Underwritten Offering, the "Offering").

The Underwriters will receive a cash commission of 5% of the gross proceeds raised, and share purchase warrants entitling the Underwriters to purchase, at a price of $4.50 per share within 24 months after closing of the Offering, common shares of the Company equal to 5% of the aggregate number of securities sold pursuant to the Offering.

The Company intends to use the net proceeds of the Offering to fund the advancement of the Company's Morelos Sur project in Mexico and for general corporate purposes.

Closing of the Offering is anticipated to occur on or before January 11, 2011 and is subject to certain conditions including, but not limited to the receipt of applicable regulatory approvals including approval of the TSX Venture Exchange.

This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful.  The Common Shares 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, or for the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.

About Cayden Resources

Cayden is a junior mineral exploration company focused on exploration and development of quality mining assets located primarily in North and South America. Managed by skilled and successful technical and financial professionals, Cayden has no long-term debt. Cayden is also strongly committed to the highest standards for environmental management, social responsibility, and health and safety for its employees and neighbouring communities. Cayden trades on the TSX Venture Exchange. More information about Cayden is available at

Some statements in this news release contain forward-looking information concerning the Company's planned exploration and development programs of its properties, plans related to its business or financings and other matters that may occur in the future, made as of the date of this press release. Forward-looking statements may include, but are not limited to, statements with respect to the proposed financing, future mineral exploration, the timing of activities, the success of exploration activities, and sources and uses of funds. Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking statements. Such factors include, among others, risks related to the successful completion of the financing; actual results of exploration activities; changes in project parameters as plans continue to be refined; future prices of gold, silver and other commodities; possible variations in orebodies or the grade thereof; failure of equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; and delays in obtaining governmental approvals or financing or in the completion of development activities. The Company does not intend to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by law.


SOURCE Cayden Resources Inc.

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