Viceroy eyes $8.4 million

Vancouver — Calgary-based Propriety Industries (PPI-T) has reached a preliminary agreement that would see the diversified company take a 49% stake in junior gold producer Viceroy Resource (VOY-T).

Under the terms of the deal, Propriety would subscribe for 28 million units of Viceroy at a price of 30 per unit. One unit would hold one share and one warrant. For every two warrants, the holder could acquire one share at a price of 35 for a period of two years.

The deal would put $8.4 million into Viceroy’s coffers.

Propriety owns and manages a portfolio of financial, natural resource and real estate assets. Once the deal closes and all the warrants are exercised, the company would hold a 49% equity interest in Viceroy.

In 2000, the gold miner cranked out 263,000 oz. gold from mines in Australia and North America.

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