TORONTO, Nov. 28, 2013 /CNW/ - Jaguar Mining Inc. ("Jaguar" or the
"Company") (TSX: JAG) is pleased to announce that it has gained additional support for its
proposed recapitalization transaction, which was announced on November
13, 2013 (the "Recapitalization").
The Recapitalization now has the support of holders of approximately 93%
of the Company's 4.5% Convertible Notes due 2014 (the "2014 Notes") and
holders of approximately 86% of the Company's 5.5% Convertible Notes
due 2016 (the "2016 Notes"). These holders of the 2014 Notes and the
2016 Notes entered into a Support Agreement dated November 13, 2013
with the Company (or have signed a consent agreement thereto)
(collectively, a "Support Agreement") and have agreed to vote in favour
of and support the Recapitalization, subject to certain conditions.
As previously announced, holders of 2014 Notes and 2016 Notes that
entered into a Support Agreement on or before November 26, 2013 are
eligible for additional consideration under the Recapitalization.
Further details of the Recapitalization will be provided in an
information circular expected to be distributed to shareholders and
holders of the 2014 Notes and the 2016 Notes in early December. Subject
to the satisfaction of certain conditions, the Recapitalization is
expected to close in the first quarter of 2014.
The Recapitalization remains subject to certain conditions, including
obtaining required governmental, court, regulatory and third party
approvals, as applicable, and consents from senior secured lenders that
may be required. The Company can give no assurances that the
Recapitalization will be completed.
Certain statements in this press release constitute "Forward-Looking
Statements" within the meaning of the U.S. Private Securities
Litigation Reform Act of 1995 and applicable Canadian securities
legislation. These Forward-Looking Statements include, but are not
limited to, statements concerning the Company's refinancing and
restructuring plans and future financial condition. Forward-Looking
Statements can be identified by the use of words, such as "are
expected", "is forecast", "is targeted", "approximately" or variations
of such words and phrases or statements that certain actions, events or
results "may", "could", "would", "might", or "will" be taken, occur or
be achieved. Forward-Looking Statements involve known and unknown
risks, uncertainties and other factors which may cause the actual
results or performance to be materially different from any future
results or performance expressed or implied by the Forward-Looking
These Forward-Looking Statements represent the Company's views as of the
date of this press release. The Company anticipates that subsequent
events and developments may cause the Company's views to change. The
Company does not undertake to update any forward-looking statements,
either written or oral, that may be made from time to time by or on
behalf of the Company subsequent to the date of this discussion except
as required by law. For a discussion of important factors affecting the
Company, including fluctuations in the price of gold and exchange
rates, uncertainty in the calculation of mineral resources,
competition, uncertainty concerning geological conditions and
governmental regulations and assumptions underlying the Company's
forward-looking statements, see the "CAUTIONARY NOTE" regarding
forward-looking statements and "RISK FACTORS" in the Company's Annual
Information Form for the year ended December 31, 2012 filed on SEDAR
and available at http://www.sedar.com and the Company's Annual Report
on Form 40-F for the year ended December 31, 2012 filed with the United
States Securities and Exchange Commission and available at www.sec.gov.
About Jaguar Mining Inc.
Jaguar is a junior gold producer in Brazil with operations in a prolific
greenstone belt in the state of Minas Gerais and owns the Gurupi
Project in Northeastern Brazil in the state of Maranhão. The Company
also owns additional mineral resources at its approximate
210,000-hectare land base in Brazil. Additional information is
available on the Company's website at www.jaguarmining.com.
SOURCE: Jaguar Mining Inc.
For further information:
Chief Financial Officer