NEW SHARE ISSUE IN DANNEMORA MINERAL BRINGS SEK 130 MILLION

After the close of the stock exchange on 9 October 2012, Dannemora Mineral implemented a private placement. The share issue generated SEK 130,000,000 before share issue expenses. A total of 6,500,000 shares were allotted at a price of SEK 20.00 per share.

The share issue has been implemented to finance the revenue shortfall and action programme previously communicated by the company and to secure a capital reserve for the Companys operation in the period until a positive cash flow is achieved. The share issue is subject to approval by an Extraordinary General Meeting on or about 26 October 2012.

Following the share issue, the number of shares in Dannemora Mineral is 21,860,400 with the newly issued shares representing 29.7 percent of capital and 19.9 of the votes. The Company's share capital will increase from SEK 2,457,664 to SEK 3,497,664. 
Dannemora Mineral will conduct a subsequent share issue (repair issue) of approx. 1 million shares at a price of SEK 20.00 per share. If fully subscribed the share issue adds SEK 20 million. The intention is to give existing shareholders who were not participating in the private placement the opportunity to subscribe for shares on the same terms as in yesterdays private placement.

Swedbank First Securities AS has acted as Dannemora Mineral AB's financial adviser on the private placement. Remium Nordic has acted as Sales Agent.
 
The Press Release can be downloaded from the link below:
 
Press Release 10 October 2012 Dannemora Mineral:
http://hugin.info/137553/R/1647931/531287.pdf


This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients.

The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.

Source: Dannemora Mineral AB via Thomson Reuters ONE
HUG#1647931