Canamex Closes $2,160,000 Financing With Gold Resource Corporation and Insiders Priced at a Then Premium to Market
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb 28, 2014) - Canamex Resources Corp. (TSX VENTURE:CSQ)(OTCQX:CNMXF)(FRANKFURT:CX6) is pleased to announce further to its News Release dated February 7, 2014 that it has closed its equity financing, pursuant to which NYSE MKT-listed Gold Resource Corp. ("GRC") acquired 22,222,222 common shares of the Company and insiders acquired an additional 1,777,778 common shares, at a price of nine cents per share which was then a 12.5% premium to the closing price on the day agreement was reached, and a premium of 13.75% to the volume weighted average price over the prior 20 trading days.
The aggregate purchase price for the 24 million shares (the "Shares") was $2,160,000. No warrants were issued and no fees were paid in connection with this financing. Proceeds will be used for exploration and development of the Company's Bruner Gold Project located in Nye County, Nevada and for general working capital. The Shares are subject to a hold period under applicable Canadian securities laws expiring on June 28, 2014, and will be subject to such further restrictions on resale as may apply under applicable foreign securities laws.
GRC has the right to appoint one representative to the Board of Directors of Canamex, provided that GRC holds more than 10% of the issued and outstanding shares of Canamex.
Canamex CEO Kramer Comments:
"We are delighted to welcome GRC as a strategic investor," stated Canamex CEO Robert Kramer. "GRC management has a wealth of experience in the gold mining sector, and we believe they fully understand and support our vision for our flagship Bruner Gold Project."
About GRC:
GRC is a mining company focused on production and pursuing development of gold and silver projects that feature low operating costs and produce high returns on capital. GRC has 100% interest in six potential high-grade gold and silver properties in Mexico's southern state of Oaxaca. GRC has 53,779,369 shares outstanding, no warrants and no debt, and offers shareholders the option to convert their cash dividends into physical gold and silver and take delivery. For more information, please visit GRC's website located at www.goldresourcecorp.com and read its 10-K for an understanding of the risk factors involved.
ON BEHALF OF THE BOARD
Robert Kramer, CEO and Director
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.