HopgoodGanim advises Macarthur Minerals on $50 million private placement

28 February 2011

HopgoodGanim has advised TSX-V listed Macarthur Minerals on a brokered bought-deal private placement of shares and warrants to an investor syndicate, raising $50.04 million before costs.

According to partner Brian Moller, who led the team at HopgoodGanim advising on the placement, the size of this transaction and the speed at which it took place are reflective of the current market conditions for capital raisings for mining companies.

"This capital raising was originally announced for $30.06 million, and then quickly raised to $45 million. The underwriters then chose to exercise their over-allotment, resulting in a total raising of $50.04 million," he says.
"It's testament to Macarthur Minerals' management team that this level of interest was generated in such a short timeframe."

Mr Moller says that as Macarthur Minerals is an Australian company listed in Canada, there were a number of multi-jurisdictional and inter-State legal issues to navigate.

"The underwriters signed the engagement letter with Macarthur Minerals on 10 February, and the transaction was completed within 14 days. Our primary concern was to ensure the transaction ran smoothly and was coordinated effectively in such a tight timeframe."

The HopgoodGanim team advising on the transaction included Canadian Joshua Doig, who joined the firm in October 2010 as a Law Clerk (Overseas Qualified) to work with clients of the firm who are undertaking projects in Canada, and with Canadian companies.

The placement will enable Macarthur Minerals to further develop its Lake Giles project in Western Australia.

Esther Cohen, Senior Communications Advisor
Tel: 07 3024 0192