/NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES
OR DISSEMINATION IN THE UNITED
STATES/
TORONTO, Aug. 22, 2016 /CNW/ - AuRico Metals Inc.
(TSX: AMI),("AuRico" or the "Company") announces that it has
closed its previously announced bought deal offering of 11,500,000
common shares at a price of C$1.00
per common share, which includes 1,500,000 common shares issued
pursuant to the exercise in full of the over-allotment option (the
"Offering").
The shares were purchased on a bought deal basis by a syndicate
of underwriters (the "Underwriters") co-led by National Bank
Financial Inc. and Macquarie Capital Markets Canada Ltd., and
included Mackie Research Capital Corporation, Canaccord Genuity
Corp., Dundee Securities Ltd., and Paradigm Capital Inc.
In addition, Alamos Gold Inc. exercised its participation right
to maintain its pro rata interest in full pursuant to a concurrent
private placement undertaken in connection with the Offering for
1,272,611 common shares. As a result, combined gross
proceeds raised by the Company totaled C$12,772,611.
The net proceeds from the Offering will be used to fund the
potential acquisition of additional royalties, the advancement of
permitting activities and detailed engineering at the Kemess
Underground project, as well as for working capital and general
corporate purposes.
The securities offered have not been registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold
in the United States absent
registration or any applicable exemption from the registration
requirements. This press release does not constitute an offer to
sell or the solicitation of an offer to buy nor will there be any
sale of the securities in any state in which such offer,
solicitation or sale would be unlawful.
About AuRico Metals
AuRico Metals is a mining royalty and development company whose
producing gold royalty assets include a 1.5% NSR royalty on the
Young-Davidson Gold Mine, a 0.25% NSR royalty on the Williams Mine
at Hemlo, and a 0.5% NSR royalty
on the Eagle River Mine – all located in Ontario, Canada. AuRico Metals also has a 2%
NSR royalty on the Fosterville Mine and a 1% NSR royalty on the
Stawell Mine, located in Victoria,
Australia. Aside from its diversified royalty portfolio,
AuRico owns (100%) the advanced Kemess Gold-Copper Project in
British Columbia,
Canada. AuRico Metals' head office is located in Toronto, Ontario, Canada.
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Cautionary
Statement
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This news release
contains "forward-looking information" which may include, but is
not limited to, statements with respect to the future financial or
operating performance of the Company and its projects, as well as
the use of proceeds from the Offering. Often, but not always,
forward-looking statements can be identified by the use of words
such as "plans", "expects", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates", or "believes"
or variations (including negative variations) of such words and
phrases, or state 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,
performance or achievements of the Company to be materially
different from any future results, performance or achievements
expressed or implied by the forward-looking statements.
Forward-looking statements contained herein are made as of the date
of this press release and the Company disclaims any obligation to
update any forward-looking statements, whether as a result of new
information, future events or results or otherwise. There can be no
assurance that forward-looking statements will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements. The Company
undertakes no obligation to update forward-looking statements if
circumstances, management's estimates or opinions should change,
except as required by securities legislation. Accordingly, the
reader is cautioned not to place undue reliance on forward-looking
statements. The Company believes that, in addition to conventional
measures prepared in accordance with IFRS, certain investors use
this information to evaluate the Company's performance and ability
to generate cash flow.
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SOURCE AuRico Metals