Dannemora Mineral AB has engaged Swedbank First Securities AS to advice on and effect a potential private placement of up to 1,500,000 shares towards Norwegian and other international investors.

 

The contemplated Private Placement will consist of new class B shares, each with a nominal value of SEK 0.16. The subscription price in the Private Placement will be set through an accelerated bookbuilding process at or close to the closing price 15 March 2012 of the Dannemora share on the First North in Stockholm. Minimum subscription is an amount equivalent to EUR 50,000.

 

The purpose of the Private Placement is to further strengthen the Company's balance sheet and to finance the further investments and changes in working capital, communicated in a Press Release dated 21 February 2012.

 

The book-building period will commence today, 15 March 2012 at 17:30 CET and close on 16 March 2012 at 08.30 CET. The Company may, however, at any time resolve to close or extend the bookbuilding period, but will in no event close earlier than 15 March 2012 at 18:30 CET.

 

The subscribers in the private placement will be delivered newly issued class B shares in the company registered in the Norwegian share registry VPS.

 

Listing and trading of the offer shares on Oslo Axess is subject to the satisfaction of the following conditions:

 

·         A valid resolution by Dannemora Mineral AB to issue the placement shares allocated in   the Private Placement and such other corporate resolutions and actions deemed necessary to effectuate the Private Placement

 

·         Approval of an listing Prospectus by the Norwegian FSA

 

The private placement is subject to the approval by the board of directors of Dannemora Mineral and the board reserves the right, in its absolute discretion, to cancel the private placement at any time. The new shares will be issued pursuant to the authorisation provided to the board of directors at the annual general meeting on 3 May 2011.