- Buffalo Coal Corp. (BUF) has completed a rights offering to its shareholders
- Under the offering, Buffalo Coal issued shares on the TSX Venture Exchange and the Johannesburg Stock Exchange concurrently
- The company raised total gross proceeds of approximately C$3,152,535.63 (TSXV – C$3,151,354.52 and JSE – R14,874.65)
- The company plans to use the net proceeds to settle its indebtedness to Investec Bank and for general working capital purposes
- Buffalo Coal is a coal producer in South Africa
- Buffalo Coal Corp. opened trading at $0.015
Buffalo Coal Corp. (BUF) has completed a rights offering to its shareholders.
Under the rights offering, Buffalo Coal issued shares on the TSX Venture Exchange and the Johannesburg Stock Exchange concurrently.
The company issued 315,135,452 common shares at a price of C$0.01 per common share for rights exercised on the TSXV and 111,038 common shares at a price of R0.13396 per common share for rights exercised on the JSE.
Through the rights offering, the company raised total gross proceeds of approximately C$3,152,535.63 (TSXV – C$3,151,354.52 and JSE – R14,874.65).
A total of 315,181,760 common shares were issued under the basic subscription privilege, and an additional 64,730 common shares were issued under the additional subscription privilege.
All of the common shares subscribed for under the additional subscription privilege have been allotted as the aggregate number of common shares subscribed for under the additional subscription privilege was less than the number of common shares available thereunder.
As of the closing date, 736,599,086 common shares of Buffalo Coal are issued and outstanding.
The company paid no fees or commissions in connection with the distribution. To the knowledge of the company, after reasonable inquiry, no person that was not an insider of Buffalo Coal became an insider as a result of the distribution under the rights offering.
Following the closing of the rights offering, Belvedere Resources DMCC, an insider, owns 662,939,177 common shares of the company, representing 90 per cent of the total issued and outstanding common shares of the company.
The company plans to use the net proceeds from the rights offering to settle its indebtedness to Investec Bank Limited and for general working capital purposes.
Buffalo Coal is a coal producer in South Africa.
Buffalo Coal Corp. opened trading at $0.015.