Lakeside Steel Completes $23,023,000 Bought Deal Offering
May 19 2011 - 8:54AM
PR Newswire (Canada)
WELLAND, ON, May 19 /CNW/ -- /NOT FOR DISTRIBUTION TO U.S. NEWSWIRE
SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ WELLAND, ON,
May 19 /CNW/ - Lakeside Steel Inc. (TSX-V: LS) ("Lakeside Steel" or
the "Company") today announced that it has completed its bought
deal short-form prospectus offering of 44,275,000 common shares
(the "Common Shares") at a price of $0.52 per Common Share for
total gross proceeds of $23,023,000 (the "Offering"). The Offering
includes the exercise of the underwriters' over-allotment option in
full. The Common Shares were issued pursuant to the Company's short
form prospectus dated May 13, 2011, and the Offering was sold on a
bought deal basis by a syndicate led by Cormark Securities Inc. and
including Northern Securities Inc. and Canaccord Genuity Corp.
(together, the "Underwriters"). In connection with the Offering,
the Underwriters were paid a cash commission equal to 6% of the
gross proceeds received by the Company in respect of the Offering.
Vic Alboini, Chairman and Chief Executive Officer of the Company
commented: "Lakeside Steel has raised $44 million in two short-form
prospectus offerings over the past 7 months to finance our growth
and development in Canada and the U.S. We are pleased to have an
increasingly diversified and expanded shareholder base." The
Company plans to use the net proceeds of the Offering to fund the
expansion of the new end-finishing and heat treatment facility
announced on April 28, 2011, and for general corporate and working
capital purposes. Ron Bedard, President and Chief Operating Officer
of the Company commented: "The successful completion of the
Offering will allow us to construct a state of the art
end-finishing and heat treatment facility in Thomasville, Alabama.
Once operational, our new facilities in Alabama will position
Lakeside Steel to produce high value-added products for our
customers as well as complement our existing modern manufacturing
assets." About Lakeside Steel Inc. Lakeside Steel is a 2011 TSX
Venture Exchange 50 company and the parent company of Lakeside
Steel Corporation ("Lakeside"). Lakeside, located in Welland,
Ontario, is a diversified steel pipe and tubing manufacturer with a
focus on manufacturing and upgrading Oil Country Tubular Goods.
Lakeside's list of customers includes large oil and gas end users
as well as distributors across North America. Lakeside Steel also
indirectly wholly-owns Lakeside Steel Alabama which will be a
diversified steel pipe manufacturer strategically situated in the
southern United States on successful completion of the construction
of the new facility in Thomasville, Alabama. Construction of the
Alabama facility is currently underway. This press release may
contain forward-looking statements with respect to the Company, its
operations, strategy, financial performance and condition. These
statements generally can be identified by use of forward looking
words such as "may", "will", "expect", "estimate", "anticipate",
intends", "believe" or "continue" or the negative thereof or
similar variations. The actual results and performance of the
Company discussed herein could differ materially from those
expressed or implied by such statements. Such statements are
qualified in their entirety by the inherent risks and uncertainties
surrounding future expectations. Important factors that could cause
actual results to differ materially from expectations include,
among other things, general economic and market factors,
competition, changes in government regulations and the factors
described under "Risk Factors" in the Management's Discussion, and
Analysis, Annual Information Form and Filing Statement of the
Company which are available at www.sedar.com. The cautionary
statements qualify all forward-looking statements attributable to
the Company and persons acting on their behalf. Unless otherwise
stated, all forward-looking statements speak only as of the date of
this press release and the Company has no obligation to update such
statements. Neither TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release. Lakeside Steel was recognized as a TSX
Venture 50® company in 2010 and 2011. TSX Venture 50 is a
trade-mark of TSX Inc. and is used under license. To view
this news release in HTML formatting, please use the following URL:
http://www.newswire.ca/en/releases/archive/May2011/19/c5932.html p
/p table tr valign="top" td align="left" bRon Bedard /bbr/
President and Chief Operating Officerbr/ Lakeside Steel Inc.br/
FAX: (905)735-9069br/ e-mail: a
href="mailto:ron.bedard@lakesidesteelcorp.ca"ron.bedard@lakesidesteelcorp.ca/a
/td td /td td /td td /td td align="left" bKen
Hunter /bbr/ Chief Financial Officerbr/ Lakeside Steel Incbr/
FAX: (905)735-9069br/ e-mail: a
href="mailto:ken.hunter@lakesidesteelcorp.ca"ken.hunter@lakesidesteelcorp.ca/a
/td /tr /table p /p
Copyright
Lakeside Steel Inc. (TSXV:LS)
Historical Stock Chart
From Jul 2024 to Aug 2024
Lakeside Steel Inc. (TSXV:LS)
Historical Stock Chart
From Aug 2023 to Aug 2024