Clifton Star Resources Announces the Closing of the Brokered Flow-Through Private Placement
November 13 2012 - 12:34PM
Marketwired
Clifton Star Resources Inc. (the "Company" or "Clifton") (TSX
VENTURE:CFO)(FRANKFURT:C3T) is pleased to announce it has closed
with Industrial Alliance Securities Inc. (the "Agent") a private
placement of flow-through shares (the "Private Placement").
The Company has issued 2,760,000 flow-through shares (each, a
"Flow-Through Share"), at a price of $1.25 per Flow-Through Share
for gross proceeds of $3,450,000 including the Flow-Through Shares
issued pursuant to the Agent's over-allotment option which was
exercised in full.
In connection with the Private Placement, the Company paid a
cash commission to the Agent in an amount equal to $203,250 and
issued 138,000 compensation options entitling it to purchase for a
period of 18 months from the date of issuance and at a price of
$1.25 per share, a number of additional common shares of the
Company equal to 5% of the total number of Flow-Through Shares sold
in the Private Placement.
All of the securities issued pursuant to the Private Placement
are subject to a hold period of four months and one day ending on
March 14, 2013.
The Company intends to use the proceeds from the sale of the
Flow-Through Shares to incur exploration expenditures on the
Duparquet Project, to upgrade and expand its resources.
Neither the TSX Venture Exchange nor its Regulations Services
Provider (as the term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Contacts: Louis Dufour Vice President Finance & CFO
418-914-9922jblackburn@cfo-star.com