SOTKAMO SILVER ANNOUNCE THE OUTCOME OF THE PREFERENTIAL SHARE ISSUE

In the recently concluded rights issue there was 15 908 461 subscribed units with preferential rights (77 %) and 4 734 737 without rights (23 %). The number of new shares based on the units are 82 572 792. The total number of shares will be 103 215 990 after registration of the shares. The received amount is about 186 MSEK, before expenses. The issue was fully subscribed.

Each subscribed units allocates even one warrant of series 2016/2017. The Warrant gives the right so subscribe for one (1) share at 4 SEK in August 2017. The warrants will be traded in NGM and NASDAQ Helsinki.

The board of directors has resolved on allocation of units subscribed for without subscription- rights according the resolution published in the Prospectus, which was published June 14th 2016. Payment for units subscribed for without unit rights shall be made at the latest three (3) banking days after notification of the allocation has been sent to the subscriber.

Trading in paid subscribed shares at NGM Equity (SOSI BTU) in Stockholm and NASDAQ Helsinki (SOSI1N0116) continue until the issue is registered at the Swedish Companies Registration Office.

"This additional equity give us an opportunity to form a financing package so we can start constructing the Silver Mine during late 2016" comments CEO Timo Lindborg.

Advisors

Stockholm Corporate Finance has acted as financial advisor, A1 Advokater and DLA Piper as legal advisors. Aqurat Fondkommission och S-Bank Ltd act as issuing agents in this issue.

Sotkamo Silver AB (publ) discloses the information provided herein pursuant to the Swedish Securities Markets Act and/or the Financial Instruments Trading Act.

The official Stock Exchange Releases are given in Swedish and there may be slight differences in the translated versions.

 

Stockholm, 5th July 2016.

Timo Lindborg, CEO

 

About Sotkamo Silver AB:

Sotkamo Silver AB´s business concept is to exploit mineral deposits in the Nordic countries with regards to human society and environment. Sotkamo Silver owns, through its subsidiary mineral deposits, which contains silver and gold in Finland and exploration-potential targets of zinc, lead, copper and gold in Norway. The Company’s main development project is the Silver Mine project in the municipality of Sotkamo.

Sotkamo Silver applies SveMin’s & FinnMin’s respective rules of reporting for public mining & exploration companies. Sotkamo Silver has chosen to report mineral resources and mineral reserves according to the internationally accepted JORC or NI 43-101-code. The company applies International Financial Reporting Standards (IFRS) as approved by the European Union.

The ticker symbol is SOSI at NGM and SOSI1 in NASDAQ OMX Helsinki.

ISIN-code for Sotkamo Silver shares are SE0001057910.

Read more about Sotkamo Silver on www.sotkamosilver.com or www.silver.fi