VANCOUVER, BRITISH COLUMBIA (ACCESSWIRE - February 26, 2014) - Eagle Star Minerals Corp., (TSX-V: EGE) (PINK SHEETS: ELGSF.PK) (Frankfurt: E6R.F) ("Eagle Star" or "the Company"), is very pleased to announce it has closed the first tranche of its non-brokered private placement in the amount of 12,000,000 units or $2,394,000 CND at a price of nineteen (19) cents per unit, previously announced February 21st, 2014. Each unit is comprised of one common share. There are no warrants attached to this offering.
Units in relation to this first tranche closed are subject to TSX Venture approval. The securities in connection with the offering are subject to a 4-month and 1 day hold period that expires February 27th, 2014 in accordance with the rules and policies of the TSX Venture Exchange and applicable Canadian securities laws.
Eagle Star would like to welcome M&G Investments as a major shareholder to the Company. M&G Investments is one of UK's largest and longest established investment houses. With more than 80 years experience, M&G is known for its long-term and conviction-led approach to investing. Today M&G manages assets in excess of 242 Billion British Pounds in equities, multi-asset, fixed income, real estate and cash for clients across Europe and Asia.
"We couldn't ask for a better partner to assist us with moving Eagle Star to its next stage of development. M&G has an impeccable reputation in the financial world and we are therefore thrilled about their decision to invest in the Company." commented Eran Friedlander President & CEO.
Use of Proceeds
The proceeds from the concurrent financing will be used towards the acquisition and implementation of a Direct Application Natural Fertilizer ("DANF") processing facility as part of the Company's plans to commence development of its Stage 1 production capacity in 2014. In addition, continued drilling is planned on selected targets already identified throughout Bomfim claims as part of the Company’s objective to further expand and delineate potential resources on the property. Flotation and solubility bulk testing are ongoing at Bomfim and a Thermal Phosphate process is currently being investigated as part of Eagle Star's Stage 2 production development plans.
The Company may pay a finder's fee to one or more arms length parties on a portion of the Private Placement in accordance with the policies of the TSX Venture Exchange.
About the Company
Eagle Star Minerals Corp. is a publicly listed company focused on the acquisition, exploration and development of agro-mineral properties in Brazil. Over the past three years, Eagle Star Minerals has strategically grown its' presence in Brazil and continues to focus on maximizing shareholder value by acquiring assets located in geological areas known for proven phosphate mineralization, coupled with good logistics in close proximity to agriculture.
The Company's shares are publicly traded on the TSX Venture Exchange under the symbol EGE, on the OTC Pink Sheets under the symbol ELGSF and on Frankfurt Stock Exchange under the symbol E6R.
On behalf of the Board of Directors
EAGLE STAR MINERALS CORP.
"Eran Friedlander"
Eran Friedlander, President
For more information contact:
Patrick Brandreth
Senior Manager, Corporate Development
Phone: 1-604-282-7157
Email: [email protected]