/NOT FOR DISTRIBUTION TO UNITED
STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES/
CALGARY,
Dec. 17, 2013 /CNW/ - Northern
Frontier Corp. (TSX-V: FFF) (the "Corporation") is pleased
to announce the closing of its previously announced bought deal
public offering (the "Public Offering") of units of the
Corporation (the "Units") through a syndicate of
underwriters led by Acumen Capital Finance Partners Limited and
including GMP Securities L.P. (the "Underwriters").
Pursuant to the Public Offering, the Corporation issued 3,535,100
Units, including 461,100 Units issued pursuant to the full exercise
of the over-allotment option granted to the Underwriters, at a
price of $3.50 per Unit for gross
proceeds of $12,372,850.
Immediately following closing of the Public Offering, each Unit
separated into one common share of the Corporation (a "Common
Share") and one-half of one Common Share purchase warrant (each
whole warrant, a "Warrant"). Each Warrant entitles the
holder to acquire one Common Share (a "Warrant Share") at a
price of $4.00 per Warrant Share on
or before March 27, 2015.
The Corporation is also pleased to announce the
closing of a concurrent non-brokered offering of 42,857 Units (the
"Private Placement Units"), issued on a private placement
basis to two directors of the Corporation, for aggregate gross
proceeds of $150,000. The
Private Placement Units were issued on the same terms as the Units
issued in connection with the Public Offering (the "Private
Placement") and the underlying Common Shares and Warrants will
be subject to a hold period expiring on April 18, 2014.
The Corporation intends to use the net proceeds
from the Public Offering and the Private Placement to purchase
additional equipment and for general corporate purposes, as set out
in the short form prospectus of the Corporation, dated December 10, 2013 (the "Prospectus"),
which is filed on the SEDAR website at www.sedar.com under the
Corporation's profile.
Forward Looking Information
This news release includes certain statements
that constitute forward-looking statements under applicable
securities legislation. All statements other than statements of
historical fact are forward-looking statements. In some cases,
forward-looking statements can be identified by terminology such as
"may", "will", "should", "expect", "intend", "plan", "anticipate",
"believe", "estimate", "predict", "potential", "continue", or the
negative of these terms or other comparable terminology. These
statements are made as of the date of this news release and the
Corporation does not undertake to publicly update these
forward-looking statements except in accordance with applicable
securities laws. These forward-looking statements include the
anticipated use of the net proceeds from the Public Offering and
the Private Placement. These statements are only predictions
and are based on current expectations, estimates, projections and
assumptions, which the Corporation believes are reasonable but
which may prove to be incorrect and therefore such forward-looking
statements should not be unduly relied upon. In making such
forward-looking statements, assumptions have been made regarding
the Corporation's use of the net proceeds from the Public Offering
and the Private Placement. Although the Corporation believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
any future outcome and actual developments may differ materially
from those in the forward-looking statements.
By their nature, forward-looking statements
involve numerous assumptions, known and unknown risks and
uncertainties, both general and specific, that contribute to the
possibility that the predictions, forecasts, projections and other
forward-looking statements will not occur. These risks and
uncertainties include that the Corporation may use the net proceeds
of the Public Offering and the Private Placement for purposes other
than those set out in the Prospectus. For more information on the
Corporation, investors should review the Corporation's continuous
disclosure filings that are available at www.sedar.com.
Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in policies
of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
SOURCE Northern Frontier Corp.