CALGARY, Alberta and HONG KONG, Feb. 7, 2014 /PRNewswire/ --
CLOSING OF PRIVATE PLACEMENT TO JIN QUAN LIMITED
Sunshine Oilsands Ltd. (the "Corporation" or "Sunshine") (HKEX: 2012, TSX: SUO) is pleased to announce today that it has completed the closing (the "Closing") of its private placement of 45,000,000 units of the Corporation (the "Units") to Jin Quan Limited ("Jin Quan") at a price of HK$1.70 per Unit (approximately CDN$0.24 per Unit) (the "Jin Quan Placement"), which was announced by the Corporation on January 24, 2014.
Each Unit is comprised of one Class "A" Common Voting Share of the Corporation (the "Common Share") and one-third of one purchase warrant of the Corporation (the "Warrant"). Each whole Warrant entitles the holder to acquire one Common Share at an exercise price of HK$1.88 per Common Share (the "Warrant Exercise Price") (approximately CDN$0.26 per Common Share) for a period of 24 months following the closing date of the relevant placing. The Warrant Exercise Price will be subject to normal adjustment provisions in the case of share capital or corporate reorganizations such as share consolidations and share splits, which will accordingly adjust the Warrant Exercise Price by the impact of such consolidation or split on the total issued share capital of the Corporation such that the relevant holder of the Warrant will be kept whole and will receive their proportionate share upon exercise of the Warrant.
Upon Closing, the Corporation has received total gross proceeds of HK$76,500,000 (approximately CDN$10.90 million) for the issuance of 45,000,000 Common Shares (the "Issued Shares") and 15,000,000 Warrants. As announced by the Corporation on January 24, 2014 and January 27, 2014, the Corporation will issue 18,000,000 Warrants to Million View Limited as a finders' fee in connection with the Jin Quan Placement.
The Issued Shares represent (i) approximately 1.42% of the existing issued Common Shares and (ii) immediately following the Closing, approximately 1.40% of the enlarged total issued Common Shares.
