Peregrine Diamonds Announces Closing of $15.1 Million Rights Offering

October 8, 2014 PDF version

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES


Peregrine Diamonds Ltd. (“Peregrine” or the “Company”) is pleased to announce that its rights offering of $15,103,535, which was announced on August 25, 2014, has been completed in full.

An aggregate of 71,921,597 units, each unit comprising of one common share and one warrant, were issued pursuant to the offering. Each warrant entitles the holder to purchase one common share for a term of six months at a price of $0.21. The Company is using the net proceeds from the rights offering towards its 2014 and 2015 exploration expenditures and to pay general administrative expenses.

Approximately 76% of the shares were issued in the basic subscription of the rights offering, 4% of the shares were issued in the additional subscription and the balance were issued pursuant to a standby commitment agreement.

As a result of the completion of the rights offering, a total of 215,764,791 common shares of Peregrine are now issued and outstanding.


No U.S. Registration

The securities offered will not be or have not been registered under the Securities Act, as amended (the “Securities Act”), or the securities laws of any state of the United States, and may not be offered or sold in the United States or to, or for the account or benefit of, any U.S. Person (as defined in Regulation S of the Securities Act) or person in the United States, unless an exemption from such registration requirements is available. Certain institutional accredited investors in the United States were permitted to participate in the rights offering on a private placement basis upon satisfying the Company that they qualify for an exemption from the registration requirements of the Securities Act and any applicable securities laws of any state of the United States. This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities in the United States.

For further information, please contact Mr. Eric Friedland, CEO, Mr. Brooke Clements, President, Mr. Tom Peregoodoff, Executive VP Business Development, or Peregrine Diamonds Investor Relations, at 604-408-8880 or at investorrelations@pdiam.com.


Forward-Looking Statements

This press release contains forward looking statements. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements relating to the proposed use of proceeds, the intentions of insiders with respect to the Rights Offering, the proposed exploration program, funding availability, anticipated exploration results, resource estimates, and future exploration and operating plans) are forward looking statements. These forward looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company.

Forward looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward looking statements and, even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, uncertainties relating to the availability and cost of funds, timing and content of work programs, results of exploration activities, interpretation of drilling results and other geological data, world diamond markets, future diamond prices, foreign exchange fluctuations, reliability of mineral property titles, changes to regulations affecting the Company’s activities, delays in obtaining or failure to obtain required project approvals, operational and infrastructure risks, and other risks involved in the diamond exploration business.

Any forward looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any f