Feb 26, 2015

Second Tranche of C$20 million Non-Brokered Private Placement Completed by Kennady Diamonds

Kennady Diamonds Inc. yesterday announced  that it had  closed the second tranche of the previously announced “non-brokered private placement of common shares, for gross proceeds of C$10,509,425.05”.


The Company went on to add that it has issued 2,115,331 common shares at a price of $3.55 per share for gross proceeds of C$ 7,509,425.05, and 600,000 flow-through common shares at a price of C$ 5.00 per share for gross proceeds of C$ 3,000,000.00. The shares are subject to a four month hold period, expiring on June 24, 2015, the Company clarified.


“Together with the first tranche, completed on February 18, 2015, the Company has issued 4,351,635 common shares and flow-through shares for aggregate gross proceeds of C$ 16,318,304.25,” Kennady Diamonds said in its statement. The Company expects to close a third tranche of the private placement on or about February 27, 2015.


“Proceeds of the private placement will be used primarily for the Company’s 2015 winter exploration program at the   Kennady North project and for general working capital,” the Company said.


On February 24th, Kennady Diamond had announced that “kimberlite has been intersected over approx. 80 meters in the latest Kelvin delineation drill hole KDI-15HQ-002, a vertical (minus 90 degree) hole drilled approx. 50 meters to the NW of drill hole KDI-HQ14-033a”.


“The latest intercept at Kelvin returned approx. 80 meters of kimberlite, which is very encouraging,” Kennady Diamonds CEO Patrick Evans had commented on the occasion. “Combined with the previous drill hole KDI-15HQ-001b, a minus 70 degree delineation hole that intersected approx. 54.5 meters of kimberlite, this confirms the continuity of the Kelvin kimberlite to the northwest.”