Carpathian plans units sale; Beacon Energy raises $1.5 million; Axmin downsizes placement

By Stephanie N. Rotondo

Portland, Ore., April 17 - Carpathian Gold Inc. announced Friday that it was planning to raise over C$5 million via a bought private placement of units.

The deal also includes a greenshoe of C$1.01 million.

Meanwhile, Beacon Energy Holdings Inc.'s top executive told Prospect News that its recently completed placement would be used to fund operations at the company's biodiesel plant in Texas. He also noted that the company was satisfied with the terms of the deal and the continued support from existing investors.

Axmin Inc. plans to raise C$2.5 million in a non-brokered private placement. The deal was downsized from a previously announced amount of C$6 million.

Carpathian plans unit sale

Carpathian Gold will privately place units to raise C$5.06 million, according to a press release.

The Toronto-based company plans to issue 22 million units consisting of one common share and one half-share warrant at C$0.23 per unit. Each whole warrant is exercisable at C$0.33 for three years.

Additionally, Canaccord Capital Corp., acting as placement agent, will receive a C$1.01 million greenshoe. That equals 4.4 million units.

"In this climate, they're fine," Mike O'Brien, Carpathian's manager of investor relations, said of the terms of the deal. "Everything is discounted these days. But it's a bought deal and that sends a good message.

"It's an attractive deal in these current equity markets," he added. "A bought deal is the best you can get."

O'Brien noted that the company had previously raised about C$22 million through bought deals.

"There is no lack of offers, it is just a matter of taking the best one," he explained.

Proceeds will be used to further explore and develop the company's mineral projects. Specifically, the company will use the funds for a pre-feasibility study at its Romania property and to further its plan to start production at its Brazil property by the fourth quarter of 2010.

Settlement is expected May 6.

Carpathian's stock (Toronto: CPN) slipped 2 cents, or 8%, to C$0.23.

Beacon raises $1.5 million

Beacon Energy Holdings wrapped a $1.5 million private placement, the company announced Thursday.

Under the terms of the offering, the Cranford, N.J.-based company will issue 15% senior secured three-year notes. Additionally, investors will receive warrants for common stock equal to 10% of the fully diluted outstanding shares at a strike price of $0.01.

On Friday, Carlos Aguero, president of Beacon Energy, told Prospect News that the company was happy with the outcome of the deal and noted that participating investors were "a limited group of existing investors."

"They were making an additional investment for the purpose of helping the company," he said.

"That was what was available to us at the time," he stated when asked why the company chose to raise the funds privately versus some other form of financing. "We needed the capital and so it seemed appropriate."

Aguero added that proceeds would be used for operations at the company's biodiesel plant in Cleburne, Texas.

Beacon's stock (OTCBB: BCOE) doubled in price, moving up 16 cents to $0.32.

Axmin downsizes deal

Axmin will raise C$2.5 million in a non-brokered private placement of units.

Originally, the company had planned to raise up to C$6 million in an underwritten offering announced on March 19.

According to the new terms, Axmin will sell 25 million units at C$0.10 per unit to AOG Holdings BV. Each unit contains a common share and a warrant exercisable at C$0.14 for three years.

Settlement is expected April 21. The company plans to use proceeds to further develop its mining projects in central and West Africa.

Axmin's equity (TSX Venture: AXM) closed unchanged at C$0.085.

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