The offer
The Board of Nordic Iron Ore AB (publ) ("Bolaget"), supported by the authorization given by the AGM on 24 may 2016, has decided to carry out a new share issue with preferential rights for the company's shareholders (the "rights issue"). The rights issue comprises a maximum of 73, 091,100 shares, which means that the share capital may increase by at most 12,675,708.82 kronor. The subscription price is SEK 0.25 per share.  

The share register maintained by Euroclear Sweden AB is registered as shareholders on the record date for the rights issue on 26 January 2017, have a preferential right to subscribe for shares in the rights issue in proportion to the number of shares held on the record date. For each share held on the record date are obtained two warrants. Each subscription right entitles the holder to subscribe for one new share. Subscription of shares shall take place without subscription rights. If not all of the shares subscribed on the basis of subscription rights, the Board must decide on the allocation of shares subscribed without subscription rights.

The subscription period will run from January 30 to February 14, 2017, or such later date as determined by the Board.  

  

Background and reasons 

The proceeds will be used to implement the next step in the ongoing feasibility study. This next step is to determine the mine design and production planning which is a key milestone in the project development. This means that the company will be able to improve and optimize the layout of the mine and production plan and thereby minimize mining costs and obtain a more reliable estimate of future costs. 

  

Timetable
26 January 2017                                     Record date  
27 January 2017                                     Estimated date of publication of the information memorandum
30 January – 14 February 2017             Subscription period
17 February 2017                                   Estimated date for announcement of outcome of The rights issue

Advisors
Hamilton Advokatbyrå is legal adviser to the company and Mangold Fondkommission AB is the issuer agent to the company in connection with the rights issue. 

IMPORTANT INFORMATION

The information in this press release is not an offer to acquire, subscribe for, or otherwise deal in shares, subscription rights or other securities of the company. Invitation to the interested persons to subscribe for shares in the company will only be through the information memorandum that the company calculates publish around 27 January 2017. This press release may not be released, published or distributed, directly or indirectly, in or into Australia, Canada, Hong Kong S.A.R., Japan, New Zealand, South Africa, Switzerland, Singapore or the United States or any other jurisdiction where such action is wholly or partly subject to legal restrictions, or would require additional prospectuses, registration or other measures than those required by Swedish law. The information in this press release may not be transmitted or reproduced in a way that contravenes such restrictions or would impose such requirements. Measures in breach of this instruction may constitute violation of applicable securities laws.

Neither warrants, paid and subscribed shares or new shares subscribed in the rights issue has been registered or will be registered under the United States Securities Act of 1933, in their current wording ("Securities Act") and may not be offered, underwritten, exploited, pledged, sold, resold, shipped or transferred, directly or indirectly, in or into the United States, except pursuant to an applicable exemption from the registration requirements of the Securities Act. The offer is not directed to residents in Australia, Hong Kong S.A.R., Canada, Japan, New Zealand, South Africa, Switzerland, Singapore, or in any other jurisdiction in which participation would require additional prospectuses, registration or other measures than those required by Swedish law.