MESSINA LIMITED - News Release
MESSINA LIMITED
(Incorporated in the Republic of South Africa)
(Registration Number: 1950/035912/06)
Share Code: MES ISIN: ZAE 000004438
News Release
Johannesburg, 6 June 2002
The following is an extract of a news release issued by
SouthernEra Resources Limited, Messina`s holding company, in
Toronto on 5 June 2002. The extract relates to SouthernEra
Resources accepting a bought deal equity proposal to raise C$36,25
million.
SouthernEra accepts a bought deal equity proposal to raise C$36,25
million
TORONTO, ONTARIO . The Board of Directors of SouthernEra Resources
Ltd. announced today that it has accepted a bought deal equity
proposal to sell 5 million common shares at C$7.25 per share for
gross proceeds of C$36,25 million to a syndicate co-led by
National Bank Financial and BMO Nesbitt Burns Inc. The syndicate
also has the option to acquire an additional 2 million shares on
the same terms and conditions at closing which is expected to
occur on or before June 26, 2002.
SouthernEra President and CEO Patrick Evans said this financing
will contribute towards the funding of Messina Limited`s proposed
US$22 million mine expansion announced April 22, 2002. "We will
also use the proceeds of this financing to take down our share of
rights in a Messina rights offering announced today and also take
up additional unexercised rights in order to increase our
percentage ownership in Messina Limited. A rights offering will
enable Messina to restructure its balance sheet and reduce its
debt, including money borrowed from SouthernEra which now totals
approximately US$13 million," said Mr. Evans.
SouthernEra currently owns 70.4% of the issued and outstanding
shares of Messina Limited, a South African company listed on the
Johannesburg Stock Exchange. Messina Limited owns 100% of the
Messina Platinum Group Metals project, which at full production is
now expected to produce approximately 220,000 ounces of precious
metals per year, primarily platinum and
palladium.
SouthernEra Resources Limited is an independent producer of
platinum group metals and diamonds. The company also has an
extensive PGM and diamond exploration program. The common shares
of SouthernEra are traded under the symbol SUF on the Toronto
Stock Exchange.
FOR FURTHER INFORMATION PLEASE CONTACT:
SouthernEra Resources Limited
Dr. Sally Eyre, Vice President, Corporate Affairs
Telephone: (416) 359-9282
Fax: (416) 359-9141
e-mail: inbox@southernera.com
NOT FOR DISTRIBUTION TO THE US WIRE SERVICES OR DISTRIBUTION IN
THE US
Date: 06/06/2002 09:20:00 AM Produced by the SENS Department
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