KIMBER ANNOUNCES $7 MILLION BOUGHT DEAL PRIVATE PLACEMENT
VANCOUVER, July 7, 2011 /CNW/ --
/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
VANCOUVER, July 7, 2011 /CNW/ - Kimber Resources Inc. (NYSE AMEX:KBX,
TSX:KBR) is pleased to announce that it has entered into an engagement
letter with PI Financial Corp. as lead underwriter (together with
Haywood Securities Inc. and Canaccord Genuity Inc and such other
co-underwriters as may be agreed to, the 'Underwriters') for the
offering, on a private placement basis, of 4,400,000 common shares of
Kimber (the 'Shares') at a price of C$1.60 per Share, for gross
proceeds of C$7,040,000 ( the 'Offering'), with a 'bought deal'
commitment provided by PI Financial Corp., subject to certain
conditions.
Kimber has also granted the Underwriters an over-allotment option to
purchase up to an additional 660,000 Shares exercisable up to 48 hours
prior to the closing of the Offering. The Underwriters will be paid a
cash commission of 6.5% of the gross proceeds of the Offering,
including proceeds raised upon exercise of the over-allotment option.
Completion of the Offering is subject to certain conditions, including
approval by NYSE AMEX, the Toronto Stock Exchange and other regulatory
agencies. All securities issued pursuant to the Offering will be
subject to a four-month hold period. The Offering is expected to be
completed on or about July 26, 2011.
The net proceeds of the Offering will be used for exploration and
development at the Monterde property, including a pre-feasibility study
and continued drilling, and for general corporate and working capital
purposes.
This news release does not constitute an offer to sell or a solicitation
of an offer to buy any securities nor shall any sale of the securities
take place in any jurisdiction in which such offer, solicitation or
sale is prohibited. The 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 the securities laws of any state of the
United States and may not be offered or sold in the United States or
to, or for the account or benefit of, U.S. persons or persons in the
United States unless registered under the U.S. Securities Act and
applicable state securities laws or an exemption from such registration
requirements is available. As used herein 'United States' and 'U.S.
Person' have the meaning given such terms in Regulation S under the
U.S. Securities Act.'
About Kimber
Kimber owns mineral concessions covering in excess of 39,000 hectares in
the prospective Sierra Madre gold-silver belt, including the Monterde
property, where three gold-silver mineral resources have already been
defined. The most advanced of these, the Carmen deposit, has been
extensively drilled and has undergone detailed geologic modeling. The
completion of the updated Preliminary Assessment for Monterde in 2011
represented a significant step forward for Kimber and is expected to
lead to further development and more advanced economic studies at the
Monterde deposits.
No stock exchange, securities commission or other regulatory authority
has approved or disapproved the information contained herein.
Forward looking statements
Statements in this release may be viewed as forward-looking statements,
including statements regarding the anticipated completion of the
Offering, and the further development, expected results and future
economic assessments of the Monterde project. When used in this press
release, the words 'expect', 'intend', 'hopes', 'should', 'believe',
'may', 'will', 'if', 'anticipates', 'potential for', 'potentially',
'suggests' and similar expressions are intended to identify
forward-looking statements. Such statements involve risks and
uncertainties that could cause actual results to differ materially from
those projected. Such risks and uncertainties include, among others,
uncertainty of mineral reserve and resource estimates, risks relating
to fluctuations in the price of gold, the inherently hazardous nature
of mining-related activities, potential effects on Kimber's operations
of environmental regulations in the countries in which it operates,
risks due to legal proceedings, risks relating to political and
economic instability in certain countries in which it operates, risks
related to the use of inferred mineral resources in the preliminary
assessment, and uncertainty of being able to raise capital on
favourable terms or at all, as well as those risk factors discussed
under the headings 'Cautionary Note Regarding Forward-Looking
Statements' and 'Risk Factors' in Kimber's latest Annual Report on Form
20-F as filed on SEDAR and EDGAR. There are no assurances the Company
can fulfill such forward-looking statements and the Company undertakes
no obligation to update such statements, except as required by law.
Such forward-looking statements are only predictions; actual events or
results may differ materially as a result of risks facing the Company,
some of which are beyond the Company's control.
To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/July2011/07/c3938.html
Matthew Hamilton
Manager of Investor Relations
or
Gordon Cummings, CA
President and CEO
North America Toll Free: 1-866-824-1100
Tel: (604) 669-2251
Fax: (604) 669-8577
Website: http://www.kimberresources.com
Email: news@kimberresources.com