McEwen Mining Announces $60 Million Rights Offering Backstopped by Its Chief Owner, Rob McEwen
McEwen Mining (NYSE: MUX) announced today that McEwen Mining and its wholly-owned subsidiary, McEwen Mining - Minera Andes Acquisition, will launch transferrable rights offerings (the "Rights Offerings").
We are conducting two concurrent rights offerings because we have two classes of shares: common shares of McEwen Mining ("Common Shares"); and shares of Exchange Co. that are exchangeable on a 1-for-1 basis into Common Shares ("Exchangeable Shares"). The Rights Offerings will provide that holders of Common Shares and Exchangeable Shares will participate on an equal and proportional basis with other holders of the same class of shares in purchasing additional shares of the same class of shares at a considerable discount to the current listed price.
"I believe a rights offering, versus all other forms of financing, is the most fair to our shareholders. We are giving the Companies' current shareholders who have been supportive and loyal to the Company the first right on this financing. I am personally backstopping this financing for $60 million because I believe McEwen Mining has a bright future," said Rob McEwen, Chairman and Chief Owner.
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