14.2.2019

Endomines AB commences sale of an up to EUR 5 million senior secured bond with warrants to institutional and other selected investors

Press release (PDF)

Endomines AB, Stock Exchange Release 14 February 2019 at 07:30 CET

NOT FOR PUBLICATION OR DISTRIBUTION IN OR INTO THE UNITED STATES OR TO ANY PERSON LOCATED OR RESIDENT IN THE UNITED STATES OR TO ANY U.S. PERSON, OR IN OR INTO ANY OTHER JURISDICTION WHERE PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL.

Endomines AB commences sale of an up to EUR 5 million senior secured bond with warrants to institutional and other selected investors

Endomines AB ("Endomines" or the “Company”) commences sale of a senior secured bond with an expected size of up to EUR 5 million to institutional and other selected investors. The sale is expected to conclude, and the bonds will be issued, on Friday 22 February 2019. Some of the larger shareholders of the Company have indicated that they would jointly commit to subscribe for approximately EUR 1 million of the bond to be issued. In connection with the bond, Endomines launches a directed issue of no more than 5,555,500 warrants (Sw. teckningsoptioner) entitling to new shares (the “Warrants”). The issue of Warrants will be directed to investors subscribing for the bond at a price of EUR 0.009 per Warrant. For each EUR 50,000 bond subscription, the Company shall issue 55,555 Warrants. Each Warrant entitles to subscription of one new share in the Company, at a strike price of EUR 0.90, during the period from 31 March 2019 until and including 31 March 2022. Provided that all Warrants are exercised 5,555,500 new shares will be issued, corresponding to 15.5 percent of the total number of the currently outstanding shares in the Company. Endomines intends to use the net proceeds from the issue of the bond with Warrants, for (i) financing the ramp-up, including the new mining method of the Friday Mine located in Idaho, U.S., (ii) financing exploration of the Karelian Gold Line, Finland and the Friday Mine, Idaho, U.S. as well as other U.S. assets, (iii) payment of transaction costs, and (iv) financing general corporate purposes of the Endomines group.

UB Securities Ltd acts as the Lead Manager for the issuance of the bonds with Warrants.

Borenius Attorneys Ltd and Advokatfirman Cederquist KB act as legal counsel to Endomines in the issuance of the bonds with Warrants.

Contact person
Saila Miettinen-Lähde, CEO, +358 40 548 36 95, saila.miettinen-lahde@endomines.com

This information is information that Endomines AB is obliged to make public pursuant to the Financial Instruments Trading Act.This information was submitted for publication through the contact person set out above at 07:30 CET on 14 February 2019.

About Endomines
Endomines is a mining and exploration company with its primary focus on gold. The Company explores for gold along the Karelian Gold Line in Eastern Finland and develops mining operations in Idaho, USA. Endomines aims to improve its long-term growth prospects by increasing its exploration activities and through acquisitions. Endomines aims to acquire deposits that are situated in stable jurisdictions and can be brought to production rapidly with limited investments.

The shares trade on Nasdaq Stockholm (ENDO) and Nasdaq Helsinki (ENDOM).

Important information

The information contained herein is not for release, publication or distribution, in whole or in part, directly or indirectly, in or into Australia, Canada, Hong Kong, Japan, New Zealand, South Africa, Singapore or the United States or such other countries or otherwise in such circumstances in which the release, publication or distribution would be unlawful. The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction. Members of the public are not eligible to take part in the offering.

This communication does not constitute an offer of securities for sale in the United States. The securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”) or under the applicable securities laws of any state of the United States and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

This communication does not constitute an offer of securities to the public in the United Kingdom. No prospectus has been or will be approved in the United Kingdom in respect of the securities. Consequently, this communication is directed only at (i) persons who are outside the United Kingdom, (ii) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”), (iii) high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as “relevant persons”). In addition, this communication is, in any event only directed at persons who are "qualified investors" pursuant to the Prospectus Directive (2003/71/EC, as amended). Anyinvestment activity to which this communication relates will only be available to, and will only be engaged with, relevant persons. Any person who is not a relevant person should not act or rely on this communicationor any of its contents.