Red Back (RBI.TO) gets C$100 million, closing hedges
VANCOUVER, B. C.--(Marketwire - Oct. 9, 2007):
Red Back Mining Inc. (the "Company" or "Red Back")(TSX:RBI) is pleased to announce that it has entered into an agreement with a syndicate of underwriters under which the underwriters have agreed to buy 15,152,000 common shares (the "Common Shares") from Red Back for sale to the public at a price of C$6.60 per share, representing an aggregate issue of $100,003,200 (the "Offering"). The syndicate will be lead by Scotia Capital Inc. and will include GMP Securities L.P. and Cormark Securities Inc. The Offering is expected to close on or about October 31, 2007 and is subject to regulatory and stock exchange approvals.
Proceeds from the Offering will be used to eliminate all obligations outstanding under Red Back's current gold hedge book and for general corporate purposes.
The Common Shares have not been and will not be registered under the United States Securities Act of 1933, as amended, or under any state securities laws, and may not be offered, sold, directly or indirectly, or delivered within the United States of America and its territories and possessions or to, or for the account or benefit of, United States persons except in certain transactions exempt from the registration requirements of such Act. This release does not constitute an offer to sell or a solicitation to buy such securities in the United States.
FORWARD-LOOKING INFORMATION
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ON BEHALF OF THE BOARD:
(signed) "Richard P. Clark," President
FOR FURTHER INFORMATION PLEASE CONTACT:
Red Back Mining Inc.
Sophia Shane
(604) 689-7842
Email: redback@namdo.com
Website: www.redbackmining.com
