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GLG Life Tech Corporation Completes US$27.5 Million Equity Offering


GLG Life Tech Corporation Completes US$27.5 Million Equity Offering

Date:30 Nov 2009

Type:Business News

Source:Food Ingredients First

Sector:Starch, Sugar & Sweeteners

Summary:GLG expects to use the net proceeds from the Offering primarily for registered capital payments for the Company’s Runhao subsidiary, debt repayment, working capital requirements and/or for other general corporate purposes.

30 Nov 2009 --- GLG Life Tech Corporation, the vertically integrated leader in the agricultural and industrial development of high quality stevia extracts, announced that it has completed its previously announced equity offering (the “Offering”).

Under the terms of the Offering, GLG issued and sold 3,625,000 common shares at US$7.60 per share for aggregate gross proceeds of approximately US$27.5 million and net proceeds to the Company of approximately US$25.8 million, before deducting the expenses of the Offering.

The underwriters of the Offering have been granted an over-allotment option to purchase up to an additional 543,750 common shares.

GLG expects to use the net proceeds from the Offering primarily for registered capital payments for the Company’s Runhao subsidiary, debt repayment, working capital requirements and/or for other general corporate purposes.

The Company’s registration statement became effective under the United States Securities Act of 1933, as amended, on November 20, 2009.  A copy of the registration statement can be accessed through the SEC's website at http://www.sec.gov/ and a copy of the short form prospectus may be obtained by visiting SEDAR at http://www.sedar.com/. Canaccord Adams is the sole book-running manager for the offering.  GMP Securities is acting as co-lead manager with co-managers Roth Capital Partners in the United States and Desjardins Securities and Wellington West in Canada.

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