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Re: News Releases - Wednesday, August 12, 2009
Non-Brokered Private Placement and Debt Settlement
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First Majestic Silver Corp. (the "Company") is pleased to announce a
proposed non-brokered private placement offering consisting of up to
4,000,000 units ("Units") of the Company to be issued at a price of
CDN$2.30 per Unit (the "Offering") for gross proceeds of up to
$9,200,000. Each Unit will consist of one common share (a "Unit
Share") and one-half of one common share purchase warrant (a
"Warrant"), with each full Warrant entitling the holder to purchase one
additional common share of the Company ("Warrant Shares") at an
exercise price of CDN$3.30 per Warrant Share for a period of two years
after the closing of the Offering.
The Company is also pleased to announce that it will settle certain
debts of its subsidiaries in the aggregate amount of up to $4,000,000
and has entered into debt settlement agreements with those creditors to
settle such debt by the issuance of up to 1,739,130 common shares (the
"Debt Shares") of the Company at a deemed price of CDN$2.30 per Common
Share.
The Company plans to use the net proceeds of the Offering as general
working capital in respect to its three operating silver mines; the La
Encantada Silver Mine, La Parrilla Silver Mine, and the San Martin
Silver Mine all located in Mexico.
A finder's fee of 6% cash will be payable on a portion of this private
placement to an arm's length party. Closing of the private placement
and the debt settlement is subject to receipt of all required
regulatory approvals, including the consent of the Toronto Stock
Exchange.
First Majestic is a producing silver company focused in Mexico and is
aggressively pursuing its business plan to become a senior silver
producer through the development of its existing assets and the pursuit
through acquisition of additional assets that contribute to achieving
its significant corporate growth objectives.
FOR FURTHER INFORMATION contact info@firstmajestic.com, visit our
website at www.firstmajestic.com or call our toll free number
1.866.529.2807.
FIRST MAJESTIC SILVER CORP.
"signed"
Keith Neumeyer,
President & CEO
This press release includes certain "Forward-Looking Statements" within
the meaning of section 21E of the United States Securities Exchange Act
of 1934, as amended. All statements, other than statements of
historical fact, included herein, including without limitation,
statements regarding potential mineralization and reserves, exploration
results and future plans and objectives of First Majestic Silver Corp.
are forward-looking statements that involve various risks and
uncertainties. There can be no assurance that such statements will
prove to be accurate and actual results and future events could differ
materially from those anticipated in such statements.
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Copyright (c) 2009 FIRST MAJESTIC SILVER CORP. (TSXV-FR) All rights
reserved. For more information visit our website at
http://www.firstmajestic.com/ or send mailto:service@firstmajestic.com
Message sent on Wed Aug 12, 2009 at 7:25:03 AM Pacific Time
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First Majestic Silver Corp.
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PRODUCER |
CODE : FR.TO |
ISIN : CA32076R1029 |
CUSIP : 32076R1029 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
First Majestic is a silver producing company based in Canada. First Majestic produces silver, gold, lead and zinc in Mexico, and holds various exploration projects in Canada and in Mexico. Its main assets in production are LA PARRILLA SILVER MINE, LA ENCANTADA (FIRST MAJESTIC SILVER), SAN MARTIN and LA ENCANTADA SILVER MINE in Mexico and its main exploration properties are REAL DE CATORCE, DEL TORO and CUITABOCA in Mexico and PITT ISLAND, PINCOURT, DOMPIERRE and DESJARDINS in Canada. First Majestic is listed in Canada, in Germany and in United States of America. Its market capitalisation is CA$ 1.5 billions as of today (US$ 1.2 billions, € 1.1 billions). Its stock quote reached its lowest recent point on November 02, 2001 at CA$ 0.01, and its highest recent level on December 22, 2017 at CA$ 9.99. First Majestic has 164 340 000 shares outstanding. |