Trading Symbols
AIM: AGQ
FWB: I3A
27 January 2016
Placing and directors' dealings
Arian Silver Corporation ("Arian" or the "Company") is pleased to announce that
the Company, in connection with Beaufort Securities, has placed 75 million
units ("Units") at 1 pence per Unit to raise £750,000 (the "Placing"). In
addition, directors and employees of the Company have subscribed for 4,787,493
Units at 1 pence per Unit (the "Subscription") to raise £47,875. The gross
proceeds of the Placing and Subscription would therefore amount to £797,875 in
aggregate.
Each Unit comprises one new common share ("New Common Share") and one new share
warrant ("Warrant") which entitles the holder to subscribe for one New Common
Share at a price of 1.5 pence. The expiry date of each Warrant will be 27
February 2019.
The Company intends to use the proceeds of the Placing to advance exploration
of its mining concessions in Zacatecas, Mexico, as well as for general working
capital and corporate purposes.
Jim Williams, Chief Executive Officer of Arian commented: "I am once again
excited to be taking Arian forwards in what could be described as a new
chapter.
Our cash outflows have reduced significantly in recent months as head office
costs have been streamlined, most notably through internal reorganisation and
reduction in salaries paid, we have to date generated monthly savings of US$0.1
million.
Looking at 2016, we will have a stronger balance sheet, firstly through the
elimination of debt financing, and secondly with the injection of cash from
this financing. The market is ripening with opportunities, which we are
positioning ourselves to seize."
The following directors have subscribed for the following Units:
Director No. Units Total Resulting Total Shareholding as a
Subscribed Shareholding percentage of enlarged share
capital
A J Williams 1,688,702 1,688,702 1.5%
J T Williams 1,000,000 1,500,000 1.3%
T A Bailey 1,314,226 1,314,226 1.2%
J A Crombie 416,665 566,665 0.5%
Employees of the Company have agreed to subscribe for 367,900 Units.
The Placing and Subscription are conditional on the New Common Shares being
admitted to trading on AIM ("Admission"). Application will be made to the
London Stock Exchange for the 79,787,493 New Common Shares to be admitted to
trading on AIM. Admission of the New Common Shares is expected to become
effective at 8:00 am on or around 2 February 2016.
Total Voting Rights
Following Admission and assuming no exercise of Warrants, the Company will have
113,694,941 common shares in issue. The Company has no shares in treasury,
therefore the figure of 113,694,941 should be used by shareholders as the
denominator for the calculations by which they will determine if they are
required to notify their interest in, or a change of their interest in, the
share capital of the Company under the FCA's Disclosure and Transparency Rules.
Related Party Transaction
The subscriptions for Units by the following directors:
- A. J. Williams,
- J. T. Williams,
- T. A. Bailey, and
- J. A. Crombie
are considered related party transactions for the purposes of the AIM Rules for
Companies. Mr James Cable is not participating in the Placing nor the
Subscription. James Cable, having consulted with the Company's nominated
adviser, Cantor Fitzgerald Europe, considers that the terms of the Subscription
by the directors are fair and reasonable insofar as the Company's shareholders
are concerned.
For further information please contact:
Arian Silver Corporation Beaufort Securities
Jim Williams, CEO Jon Belliss
David Taylor, Company Secretary +44 (0)20 7382 8300
OR
Yellow Jersey PR Limited Cantor Fitzgerald Europe
Dominic Barretto Stewart Dickson / David Porter / Patrick
(London) +44 (0)7768 537 739 Pittaway
dominic@yellowjerseypr.com (London) +44 (0)20 7894 7000