VANCOUVER, BRITISH COLUMBIA–(Marketwire – Aug. 16, 2012) – Cayden Resources Inc. (TSX VENTURE:CYD) (“Cayden” or the “Company”) is pleased to announce that it has increased the non-brokered financing announced on August 8th from $4,200,000 to $5,095,000 as a result of the increased demand. The non-brokered private placement is now complete, gross proceeds of CAD$5,095,000 were raised by issuing 5,095,000 units (the “Units”) of the Company at a price of CAD$1.00 per Unit (the “Offering”). Each Unit consists of one common share plus one half of one common share purchase warrant with each whole purchase warrant exercisable into a common share at a price of $1.50 for a period of 24 months from closing (the “Warrant”). The common shares and the common share purchase warrants are subject to a four month hold period expiring December 17, 2012.
The Company paid a commission of 6% in cash and 10% in Finder’s Warrants on the gross proceeds of certain placements within the Offering. Each Finder’s Warrant is a non-transferable common share purchase warrant exercisable into a common share at a price of $1.50 for a period of 24 months from closing. Total commissions on the Offering include the payment of $241,000 and the issuance of 265,000 Broker Warrants.
The net proceeds of the financing will be used to advance exploration programs on the Company’s Morelos Sur and El Barqueno gold projects in Mexico as well cover general and administrative expenses.
Cayden’s President and CEO, Ivan Bebek, commented, “We appreciate the support of our investors, welcome new investors and thank Sprott Global Resources Investments Ltd., and Euro Pacific Canada Inc. for their assistance in raising the funds. We anticipate the next 8 months to be very exciting as we continue to drill the Morelos Sur property and commence further exploration including the initiation of drilling on our El Barquenos property.”
On Behalf of the Board,
Ivan Bebek, President and CEO
About Cayden Resources
Cayden is a well financed junior mining company focused on delivering shareholder value through the acquisition, exploration and development of precious metal projects located throughout the Americas. The management team at Cayden is highly experienced with an impressive track record of success in the discovery, development and financing of mineral projects. Cayden is also strongly committed to the highest standards for environmental management, social responsibility, and health and safety for its employees and neighboring communities. Cayden trades on the TSX Venture Exchange under the symbol “CYD”.
For more information on Cayden Resources, please visit our website at www.caydenresources.com.
Forward-Looking and other Cautionary Information
This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful. The Common Shares have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to, or for the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.
Neither the TSX Venture Exchange nor any other regulatory authority accepts responsibility for the adequacy or accuracy of this release.FOR FURTHER INFORMATION PLEASE CONTACT: Cayden Resources Inc. Ivan Bebek President and CEO 778.729.0600 [email protected] www.caydenresources.com Source: Cayden Resources Inc.