WASHINGTON, D.C., Sept. 2, 2015 /CNW/ - IFC, a member of the World Bank Group, announces that it has agreed to make an investment in Roxgold Inc. ("RoxGold").
IFC's investment of approximately 18.4 million Canadian dollars in Roxgold will result in IFC acquiring 25,783,352 units with each unit composed of one common share and one half warrant. Each whole warrant entitles the holder to purchase one common share of Roxgold at an exercise price of 0.90 Canadian dollars per common share for a period of two year following the closing of the offering. The issue price per unit is 0.7136 Canadian dollars.
IFC does not currently have ownership or control over any securities of Roxgold. It is expected that upon completion of the subscriptions to IFC there will be 322,693,334 Roxgold common shares outstanding of which IFC will acquire, and have ownership and control over, approximately 8.0% of the outstanding Roxgold common shares (or approximately 11.5% of the outstanding Roxgold common shares assuming IFC exercises all of the warrants it will acquire under this offering). IFC will, upon completion of the subscription, have ownership and control over 25,783,352 Roxgold common shares and 12,891,676 warrants of Roxgold.
IFC is acquiring its units for investment purposes by way of private placement pursuant to the terms of an equity and warrant subscription and nomination right agreement containing customary terms and conditions as well as certain rights including, without limitation, information, policy, pre-emptive and nomination rights. IFC may, in the future, take such actions in respect of its holdings as IFC deems appropriate in light of the circumstances then existing.
The transaction is expected to close in early September 2015.
IFC, 2121 Pennsylvania Avenue, N.W., Washington, D.C. 20433, a member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets. Working with more than 2,000 businesses worldwide, we use our capital, expertise, and influence, to create opportunity where it's needed most. In FY15, our long-term investments in developing countries rose to nearly $18 billion, helping the private sector play an essential role in the global effort to end extreme poverty and boost shared prosperity. For more information, visit www.ifc.org.
For further information: In Washington, D.C.: Laura MacInnis, T: +1 (202) 473-6978, E: [email protected]