TORONTO (miningweekly.com) – Diverse holding company Dundee Corp on Tuesday said it had bought six-million units of project developer American Vanadium at a price of $0.50 apiece through a private placement.
Each unit in the $3-million investment comprised one American Vanadium common share, half a warrant exercisable at $0.60 and half a warrant exercisable at $0.80. Each whole $0.60 warrant would entitle the holder to buy one share at a price of $0.60 until March 30, 2014, and each whole $0.80 warrant would entitle the holder to buy one share at a price of $0.80 until September 30, 2015.
The private placement increased Dundee’s total interest to about 13.85% of American Vanadium, and if it converted all warrants, it would be 24.95%.
Dundee said it participated in the transaction for investment purposes and might be increased or decreased in the future, as appropriate, in light of investment criteria, market conditions and other factors.
American Vanadium is currently negotiating the permitting phase of its flagship Gibellini mine, in Nevada, and it had also this year clinched a deal that would allow it to market and sell German energy solutions provider Gildemeister’s CellCube vanadium redox flow batteries in North America.