TORONTO, Oct 31, 2002 /PRNewswire-FirstCall via COMTEX/ --Stock Symbols: AEM (NYSE) AGE (TSE) Agnico-Eagle Mines
Limited ("Agnico-Eagle") today announced that it has entered into an
underwriting agreement in connection with its previously announced public
offering of units in Canada and the United States pursuant to a preliminary
short form prospectus and registration statement filed yesterday. The
underwriters have agreed to purchase 12 million units at a price of US$13.90 per
unit. Each unit will consist of one common share and one half of a common share
purchase warrant of Agnico-Eagle. Each whole warrant will entitle the holder to
purchase one common share at a price of US$19 per share at any time during the
five year term of the warrant. The joint-lead managers and joint-bookrunners of
the underwriting syndicate are TD Securities Inc. and Merrill Lynch & Co.
Co-managers are Scotia Capital Inc., Yorkton Securities Inc., CIBC World Markets
Inc., Salomon Smith Barney Canada Inc., Dundee Securities Corporation and Sprott
Securities Inc. The gross proceeds to the company, before underwriting
commissions and expenses, are expected to be US$167 million. The underwriters
have an option to purchase up to 1.8 million additional units to cover
over-allotments for a period of 30 days after the date of the final prospectus.
The net proceeds of the offering will be used to fund future potential
acquisitions, capital expenditures and other general corporate purposes.
Agnico-Eagle is an established Canadian gold producer with operations located
principally in northwestern Quebec and exploration and development activities in
Canada and the southwestern United States. Agnico-Eagle's operating history
includes three decades of continuous gold production, primarily from underground
mining operations. Current proven and probable reserves stand at 3.3 million
contained ounces, with an additional 5.2 million ounces in the mineral resource
category at LaRonde.
A final prospectus relating to the units has not yet been filed in Canada and
the registration statement relating to the units filed with the United States
Securities and Exchange Commission has not yet become effective. The units may
not be sold nor may offers to buy be accepted prior to the time the registration
statement becomes effective. This press release shall not constitute an offer to
sell or the solicitation of an offer to buy nor shall there be any sale of these
units in any state in which such offer, solicitation or sale would be unlawful
prior to registration or qualification under the securities laws of any such
state.
Copies of the preliminary short form prospectus may be obtained from Merrill
Lynch & Co., 250 Vesey Street, New York, NY, 10281, Attention: Syndication or TD
Securities Inc., 66 Wellington Street West, 7th Floor, Toronto, Ontario, M5K
1A2, Attention: Equity Capital Markets.
This press release contains certain "forward-looking statements" (within the
meaning of the United States Private Securities Litigation Reform Act of 1995)
that involve a number of risks and uncertainties. There can be no assurance that
such statements will prove to be accurate; actual results and future events
could differ materially from those anticipated in such statements. Risks and
uncertainties are disclosed under the heading "Risk Factors" in the Company's
Annual Information Form (AIF) filed with Canadian securities regulators
(including the Ontario and Quebec Securities Commissions) and with the United
States Securities and Exchange Commission (on Form 20-F).
SOURCE Agnico-Eagle Mines Limited
CONTACT:
Sean Boyd, President and CEO, (416) 847-3706;
David Garofalo, VP Finance and CFO, (416) 847-3708
(AGE. AEM)
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