Each one in plain English, with the numbers worked through for a shareholder.
10 June 2011capital raising announcement▲ GoodMajor
On June 9, 2011 investors funded the exercise of the remaining options for 3,200,000 shares at $2.50, bringing $8,000,000 and an aggregate of $15,600,000 across the May and June exercises. Shares outstanding are now 33,836,259, and new five-year warrants for 3,200,000 shares were issued. The company says this funds its expected $16-18 million capital needs through 2012 and lets it speed up work at Round Top (drilling, metallurgical testing); this completes the option round begun in February. Broker commissions were $160,000 plus warrants for 128,000 shares. Marc LeVier is named CEO in the press release.
6 June 2011capital raising announcement▲ GoodMajor
On May 31, 2011 investors exercised options to buy 3,040,000 shares at $2.50, giving the company $7,600,000. This follows through on the option granted in the early-2011 placements. The investors also received five-year warrants for 3,040,000 shares at $2.50 (up to $7.6 million more if exercised), and brokers got a 10% cash commission plus warrants for 608,000 shares, so existing holders are diluted.
15 Feb 2011capital raising announcement▲ GoodMajor
Texas Rare Earth Resources closed a further $2.0 million private placement on February 9, 2011 with an institutional investor: 800,000 shares at $2.50 plus a five-year warrant for 800,000 shares at $2.50. The investor also got a four-month option to buy up to 3,200,000 more shares at $2.50 with matching warrants, which could add more shares later. Total raised in this round reaches $4 million, to be used mainly for the Round Top project in Hudspeth County, Texas; a $120,000 finders' fee and a 136,000-share warrant were also agreed.
What it means for a shareholder
800,000 new shares at US$2.50 to raise about US$2.0m. Shares on issue before the raise aren't in the record, so the dilution can't be worked out.
