Kruger announces amended terms of proposed financingSeptember 19, 2008
Kruger Capital Corp. ("Kruger" or the "Company") announced that it has amended the terms of its previously announced proposed private placement. Pursuant to the proposed private placement, Kruger will now offer and sell up to 7,500,000 units at a price of $0.42 per unit, each unit consisting of one common share and one common share purchase warrant. Each full warrant will entitle the holder to purchase one additional common share at a price of $0.65 per share for two years following the closing of the private placement. The securities will be subject to a four-month hold period under applicable securities laws.
Pursuant to the terms of the proposed private placement, as amended, the Company may engage one or more registered dealers (the "Agents") to assist the Company with the issue and sale of the units and, as consideration therefor, may (a) pay to the Agents a cash commission equal to up to 6% percent of the gross proceeds raised by the Agents as part of the private placement; and/or (b) issue to the Agents a number of warrants entitling the holder to acquire that number of common shares of the Company as is equal to up to 6% percent of the number of units sold by the Agents as part of the private placement.
The closing of the private placement is subject to the receipt of all necessary regulatory approvals. The proceeds from the placement will be used to finance Kruger's share of initial capital expenditure requirements pursuant to its previously announced proposed acquisition of an undivided 25% interest in certain oil and gas properties located in Sublette County, Wyoming.
Certain statements in this document may contain "forward-looking statements" or "forward-looking information" within the meaning of applicable securities legislation. Often, but not always, forward-looking statements or information can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes" or variations of such words and phrases or words and phrases that state or indicate that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. With respect to forward-looking statements and information contained herein, we may have made assumptions. Although our management believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that a forward-looking statement or information herein will prove to be accurate. Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Although we have attempted to identify factors that may cause actual actions, events or results to differ materially from those described in forward-looking statements and information, there may be other factors that cause actual results, performances, achievements or events to not be as anticipated, estimated or intended. Also, many of the factors are beyond our control. As actual results and future events could differ materially from those anticipated in such statements and information, readers should not place undue reliance on forward-looking statements or information. Except as may be required by law, we undertake no obligation to publicly update or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise. All forward-looking statements and information made herein are qualified by this cautionary statement.
For further information, please call:
Kruger Capital Corp.
Eric Carlson, President
This news release shall not constitute an offer to sell or the solicitation of an offer to buy the securities in any jurisdiction. The securities offered have not and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold in the United States except in certain transactions exempt from the registration requirements of the U.S. Securities Act and applicable states securities laws.
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