Each one in plain English, with the numbers worked through for a shareholder.
14 Oct 2010capital raising announcement● NeutralMajor
The company sold 3,062,500 shares at $0.40 for $1,225,000 in a private placement (first closing September 20, 2010, second October 14, 2010), four times the $0.10 price of the earlier 2010 raise. Resale registration is due by December 28, 2010. Proceeds began on October 8, 2010 to fund the search for and due diligence on possible mineral property acquisitions, with no assurance any deal results. New shares dilute existing holders.
What it means for a shareholder
3.1m new shares at $0.400 to raise about $1.2m. Shares on issue before the raise aren't in the record, so the dilution can't be worked out.
Two further closings on June 29 and July 8, 2010 sold 1,750,000 shares at $0.10 for $175,000, completing the offering at 39,500,000 shares and $3,950,000. The company also issued 375,000 shares to two unrelated firms for business development and corporate finance services, and must file a resale registration statement by September 21, 2010. The company says it filed voluntarily because these issuances are under 5% of shares outstanding.
24 June 2010capital raising announcement● NeutralMajor
A second closing on June 22, 2010 sold 14,750,000 shares at $0.10 for $1,475,000, bringing the offering to 37,750,000 shares and $3,775,000. The maximum is now stated as 30,000,000 plus a 10,000,000 over-allotment, up from 5,000,000 earlier, with sales open through June 30, 2010. This continues the May raise and further dilutes existing holders.
What it means for a shareholder
14.8m new shares at $0.100 to raise about $1.5m. Shares on issue before the raise aren't in the record, so the dilution can't be worked out.
27 May 2010capital raising announcement● NeutralMajor
Now named Universal Gold Mining Corp., the company completed the first closing of a private placement on May 24, 2010, selling 23,000,000 shares at $0.10 for $2,300,000 with no commissions paid. Up to 30,000,000 shares plus a 5,000,000 over-allotment may be sold, and investors have registration rights with cash penalties if the company misses filing deadlines. New shares dilute existing holders. (The filing does not explain the name change or what became of the Diamond Sports plan.)
What it means for a shareholder
23.0m new shares at $0.100 to raise about $2.3m. Shares on issue before the raise aren't in the record, so the dilution can't be worked out.
The company (then named Rite Time Mining, Inc.) changed its name to Federal Sports & Entertainment, Inc. on April 14, 2008, and raised its authorized common shares from 75,000,000 to 300,000,000, adding 10,000,000 preferred shares. It also issued 2,255,000 shares to its President and sole director Linda Farrell for services, approved a 2,000,000-share 2008 Equity Incentive Plan, and approved a 2-for-1 forward stock split payable April 28, 2008. Existing shareholders face dilution from the new shares and plan, though the split itself does not change their percentage ownership.
