Western Potash Corp. Completes IPO and Raises $20 Million
Western Potash Corp. (the "Company") (TSX.V: WPX) is pleased to announce the successful completion of its initial public offering ("IPO") comprising 18,185,000 common shares (the "Offering") at an issue price of $1.10 CDN per share, for gross proceeds of $20,003,500 CDN. Upon closing of the IPO, the Companys common shares began trading today on the TSX Venture Exchange under the symbol "WPX".
The Offering was led by Wellington West Capital Markets Inc. with a selling syndicate that also included Canaccord Capital Corporation and Genuity Capital Markets (collectively, the "Agents"). The Agents were also granted an option (the "Over-Allotment Option") to purchase up to 15% of the common shares at the price of $1.10 CDN. The option can be exercised in whole or in part, within 30 days of the closing date to cover over-allotments, if any. The Agents received a cash commission equal to 6% of the gross proceeds and compensation options to purchase 1,091,000 common shares of the Company at a price of $1.10 CDN per share, expiring on November 5, 2009.
The Company intends to use the net proceeds of the Offering to advance its Manitoba potash properties where multi-phased, drill and seismic exploration programs have been planned to expand and define the extent oAnchorf potash mineralization described in the Companys recently filed National Instrument 43-101 technical report. Funds will also be used for general working capital.
Western Potash Corp. is a mineral exploration company engaged in the evaluation, exploration and development of potash mineral properties in Western Canada. The Company intends to define and develop a world-class potash deposit in an ecologically sustainable, economically efficient and socially responsible manner.
ON BEHALF OF THE BOARD OF DIRECTORS
J. Patricio Varas
President and CEO
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.