/NOT FOR DISTRIBUTION TO UNITED
STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES./
VANCOUVER, March 7, 2014 /CNW/ - Cayden Resources
Inc. (TSX.V:CYD, OTCQX: CDKNF) ("Cayden" or the
"Company") is pleased to announce that it has entered into an
agreement with a syndicate of underwriters led by Beacon Securities
Limited and including Canaccord Genuity Corp. (the "Underwriters"),
pursuant to which the Underwriters have agreed to purchase, on a
bought-deal basis, 4,300,000 common shares (the "Common Shares") of
the Company at a price of CAD$1.70
per Common Share (the "Offering Price") for gross proceeds of
CAD$7,310,000 (the "Underwritten
Offering"), by way of short form prospectus to be filed in
each of the Provinces of Canada,
except Quebec. In addition,
the Company will grant the Underwriters an over-allotment option,
exercisable on or for a period of up to 30 days following the
closing of the Offering to purchase from the Company up to an
additional 645,000 common shares at the Offering Price per Common
Share (the "Over-Allotment Option", and together with the
Underwritten Offering, the "Offering"). If the Over-Allotment
Option is exercised in full, an additional $1,096,500 will be raised pursuant to the
Offering and the aggregate gross proceeds of the Offering will be
$8,406,500.
The Underwriters will receive a cash commission
of 7% of the gross proceeds raised, and common share purchase
warrants entitling the Underwriters to purchase within 24 months
after closing of the Offering, common shares of the Company equal
to 3% of the aggregate number of securities sold pursuant to the
Offering at the Offering Price per Common Share.
The Company intends to use the net proceeds from the Offering
for exploration and development of its mineral interests in
Mexico and for general corporate
and working capital purposes.
Closing of the Offering is anticipated to occur
on or before April 1, 2014 and is
subject to certain conditions including, but not limited to the
receipt of applicable regulatory approvals including approval of
the TSX Venture Exchange.
On Behalf of the Board, Ivan Bebek, President and CEO
About Cayden Resources - Cayden is a
junior mining company focused on delivering shareholder value
through the acquisition, exploration and development of precious
metal projects in Mexico. The
management team at Cayden is highly experienced with an impressive
track record of success in the discovery, development and financing
of mineral projects. Cayden is also strongly committed to the
highest standards for environmental management, social
responsibility, health and safety for its employees and neighboring
communities. Cayden trades on the TSX Venture Exchange under the
symbol "CYD" and "CDKNF" on the OTCQX.
For more information on
Cayden Resources, please visit our website at
www.caydenresources.com.
Forward Looking and other Cautionary
Information - Neither the TSX Venture Exchange nor any other
regulatory authority accepts responsibility for the adequacy or
accuracy of this release.
This news release does not constitute an offer
to sell or a solicitation of an offer to buy nor shall there be any
sale of any of the Common Shares in any jurisdiction in which such
offer, solicitation or sale would be unlawful. The Common
Shares have not been and will not be registered under the United
States Securities Act of 1933, as amended (the "U.S. Securities
Act") or any state securities laws and may not be offered or sold
within the United States or to, or
for the benefit of, U.S. persons (as defined in Regulation S under
the U.S. Securities Act) unless registered under the U.S.
Securities Act and applicable state securities laws or pursuant to
an exemption from such registration requirements. Any public
offering of securities in the United
States must be made by means of a prospectus containing
detailed information about the company and management, as well as
financial statements.
This press release includes certain
forward-looking information as defined in applicable securities law
(referred to herein as "forward-looking statements"). Specifically,
this press release contains forward-looking statements regarding
the completion of the Offering and the use of proceeds of the
Offering. Forward-looking statements involve known and unknown
risks, uncertainties and other factors which may cause actual
results, performance or achievements of the Company to be
materially different (either positively or negatively) from any
future results, performance or achievements expressed or implied by
such forward-looking statements. These risks, uncertainties and
other factors include, but are not limited to, volatility of the
price of gold, changes in debt and equity markets, general economic
conditions, environmental compliance and changes in legislation and
regulation, interest and exchange rate fluctuations, and other
risks involved in the gold exploration industry. Investors
should review the Company's AIF which is available at
www.sedar.com.
Such forward-looking statements are also based
on a number of assumptions which may prove to be incorrect,
including, but not limited to, assumptions about the following: the
availability of financing for exploration and development
activities; operating and capital costs; the Company's ability to
attract and retain skilled staff; sensitivity to metal prices and
other sensitivities; the supply and demand for, and the level and
volatility of the price of , gold; exchange rates, market
competition; timing and receipt of regulatory approvals; ongoing
relations with employees and general business and economic
conditions. Accordingly, readers should not place undue reliance on
forward-looking statements. The forward-looking statements
contained herein are made as of the date hereof, or such other date
or dates specified in such statements. The Company undertakes no
obligation to update publicly or otherwise revise any
forward-looking statements contained herein whether as a result of
new information or future events or otherwise, except as required
by law. If the Company does update one or more forward-looking
statements, no inference should be drawn that is will make
additional updates with respect to those or other forward-looking
statements.
SOURCE Cayden Resources Inc.