By Marketwire,
May 15, 2009 at 9:38 PM
VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 15, 2009) - Otis Gold Corp. ("Otis" or the "Company") (TSX VENTURE:OOO) is pleased to announce a non-brokered private placement of up to 4,000,000 units at a price of $0.25 per unit, for aggregate gross proceeds of up to CDN$1,000,000. Each unit will consist of one common share and one warrant, exercisable by the holder to acquire one additional common share at a price of $0.35 in year one and $0.55 in year two. The warrants are subject to a forced conversion which comes into effect once the shares trade above a weighted average price of $0.50 for any twenty consecutive trading-day period in year one, or $0.75 for any twenty consecutive trading-day period in year two. In the event a forced conversion, the expiry date will be the earlier of the regular two year expiry date and 30 days from the date the Company advises the placees of the forced conversion.