Vancouver, B.C. (December 9, 2013) – Platinum Group Metals Ltd.,
(PTM-TSX, PLG-NYSE.MKT) (the “Company” or “Platinum Group Metals”) has
announced today that it has entered into an agreement with a syndicate
of underwriters led by BMO Capital Markets and GMP Securities L.P.
under which the underwriters have agreed to buy on a bought deal basis
148,500,000 common shares (the “Common Shares”), at a price of C$1.18
per Common Share for gross proceeds of C$175,230,000 (the “Offering”).
The Company has granted the Underwriters an option, exercisable at the
offering price for a period of 30 days following the closing of the
Offering, to purchase up to an additional 15% of the Offering to cover
over-allotments, if any. The Offering is expected to close on or about
December 31, 2013 and is subject to Platinum Group Metals receiving all
necessary regulatory approvals.
The net proceeds of the
Offering will be used to partially fund Phase 2 development at the WBJV
Project 1 platinum mine, to fund the Company’s portion of ongoing
exploration and engineering work on the Waterberg joint venture project,
to fund the Company’s portion of ongoing exploration work on the
Waterberg extension project and for general working capital purposes.
The Common Shares will be
offered by way of a short-form prospectus in all of the provinces of
Canada, excluding Quebec, and will be offered in the United States
pursuant to a registration statement filed under the Canada/U.S.
multi-jurisdictional disclosure system, and on a private placement
basis in certain jurisdictions outside Canada and the United States
pursuant to applicable prospectus exemptions. A registration statement
relating to these securities has been filed with the United States
Securities and Exchange Commission but has not yet become effective.
The securities may not be sold nor may offers to buy be accepted in the
United States prior to the time the registration statement becomes
effective. This news release shall not constitute an offer to sell or
the solicitation of an offer to buy nor shall there be any sale of the
Common Shares in any jurisdiction in which such offer, solicitation or
sale would be unlawful prior to registration or qualification
under the securities laws of that jurisdiction.
A written prospectus
relating to the offering may be obtained upon request in Canada by
contacting BMO Capital Markets, Mississauga Distribution Centre C/O The
Data Group of Companies, 80 Ambassador Drive, Mississauga, Ontario, L5T
2Y9 by telephone at 905-696-8884 x4166 or by email at EgNegro@datagroup.ca,
and in the United States by contacting BMO Capital Markets Corp.,
Attn: Equity Syndicate Department, 3 Times Square, New York, NY 10036,
or by telephone at (800) 414-3627 or by email at email@example.com.