Silver Standard Announces Exercise
of Over-Allotment Option in Connection With the IPO of Pretium
Resources Inc.
Silver Standard Resources Inc. announces
that Pretium Resources Inc. ("Pretium") issued today an additional 3,000,000
common shares at a price of $6.00 per share upon the exercise,
in part, of an over-allotment option by the syndicate of underwriters granted
in connection with Pretium's initial
public offering (the "Option Exercise").
The
aggregate gross proceeds of the Option Exercise of $18 million
were used by Pretium to repay an
equivalent principal amount owing to the Company under a convertible
promissory note (the "Convertible Note") issued to the Company in
connection with the acquisition by Pretium
of the Snowfield Project and Brucejack
Project. Following this issuance, Silver Standard's ownership interest
in Pretium has been reduced to 39.76% of
the total issued common shares of Pretium.
Unless the underwriters exercise the remainder of the over-allotment option,
the remaining principal under the Convertible Note will automatically convert
into common shares of Pretium on January
31, 2011, resulting in Silver Standard owning a 42.31% interest in Pretium.
Silver
Standard is a silver mining company that seeks growth through discovery, the
development of its project pipeline, and accretive acquisition opportunities.
This
news release shall not constitute an offer to sell or the solicitation of an
offer to buy nor shall there be any sale of these
securities in any state in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of
any such state.
Forward
Looking Statements: Certain statements in this news release are
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995 and forward-looking information within the
meaning of Canadian securities laws (collectively, "forward-looking
statements"). Forward-looking statements are statements that are not
historical facts and that are subject to a variety of risks and uncertainties
which could cause actual events or results to differ materially from those
reflected in the forward-looking statements. Forward-looking statements
include, without limitation, those relating to the automatic conversion of
the Convertible Note and the Company's resulting interest in Pretium. Such risks and uncertainties include,
but are not limited to, the need to satisfy regulatory and legal requirements
with respect to the transaction. The Company does not intend, and does not
assume any obligation, to update any forward-looking statements, other than
as required by applicable law.
(SOURCE:
Silver Standard Resources Inc.)
Contacts:
Silver Standard Resources Inc.
Michelle Romero
Communications Director
N.A. Toll Free: 1-888-338-0046 or Direct: (604) 484-8216
invest@silverstandard.com
www.silverstandard.com
Source: Silver
Standard Resources Inc.