TORONTO (miningweekly.com) – Minefinders, which poured the first gold and silver last month at its flagship Dolores mine, has entered into an agreement with a syndicate of underwriters for a bought deal worth C$40,02-million.

The underwriters have agreed to buy 9,2-million units from Minefinders for sale to the public, at a price of C$4,35 a unit.

Each unit will comprise one common share and one-half of a common share purchase warrant. Each whole warrant will entitle the holder to buy a common share of the company, at a price of C$5,00 a share, on or before December 31, 2011.

Vancouver-based Minefinders has also granted the underwriters an overallotment option to buy up to an additional 1,38-million units.

The offering will be led by Scotia Capital Inc and BMO Capital Markets and is expected to close on or about December 11, 2008.

The funds raised will be used to enhance working capital, reduce indebtedness and for general corporate purposes, Minefinders said.

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