Jaguar Mining

June 28, 2016 17:28 ET

Eric Sprott Announces Acquisition of Shares of Jaguar Mining Inc.

TORONTO, ONTARIO--(Marketwired - June 28, 2016) - Eric Sprott announces that on June 28, 2016, he acquired 11,673,791 million common shares of Jaguar Mining Inc., representing approximately 10.5% of the outstanding shares. Mr. Sprott acquired the shares at a price of $0.38 per common share pursuant to a purchase agreement with Outrider Master Fund, LP (Outrider). Mr. Sprott also purchased a principal amount of US$5.35 million of Convertible Debentures held by Outrider that are convertible into 46,978,350 common shares of the Company pursuant to the same purchase agreement. Total consideration paid to Outrider was $22.3 million.

Prior to this acquisition, Mr. Sprott beneficially owned 1,103,000 common shares representing approximately 1.0% of the outstanding shares. Mr. Sprott now beneficially owns and controls 12,776,791 common shares, representing approximately 11.5% of the outstanding shares.

In the event that all the Convertible Debentures held by Mr. Sprott are converted, Mr. Sprott would have ownership and control of an additional 46,978,350 common shares, representing approximately 29.7 per cent of the outstanding common shares postexercise, and ownership and control over 59,755,141 common shares, representing approximately 37.8 per cent of the outstanding common shares postexercise on a partially diluted basis.