MRI finalizes rights offering

The terms of the rights offering of Mineral Resources International (MRI) to the holders of its common shares has been finalized.

Under the terms of the rights offering fixed by the board of directors, the holders of MRI’s common shares at the close of business on Feb 19 will be issued rights entitling them to purchase additional common shares at the subscription price of $2.85 per share and at the rate of one additional common share for each four common shares held on such date.

In addition, common shareholders of record on such date will be entitled to subscribe on a pro rata basis for additional common shares not purchased pursuant to the exercise of the rights prior to the expiry of such rights.

An aggregate of 3,912,542 common shares of MRI will be issuable pursuant to the exercise of rights under the offering. If all rights are exercised, MRI will raise about $11.1 million from the issue of the common shares.

Proceeds from the issue will be used to repay existing bank indebtedness.

Rights issued under the offering will be listed and posted for trading on the Toronto Stock Exchange and will expire at 4 p.m. on March 12.

The issue of rights is subject to receipt of final regulatory approval.