Roxgold Inc.

TSX VENTURE : ROG

February 09, 2012 08:07 ET

Roxgold Inc. Announces $18.5 Million Bought Deal Private Placement

TORONTO, ONTARIO--(Marketwire - Feb. 9, 2012) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER IN THE UNITED STATES OF THE SECURITIES DESCRIBED HEREIN

Roxgold Inc. (TSX VENTURE:ROG) (the "Company") is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by Cormark Securities Inc. and including GMP Securities L.P., RBC Capital Markets, Fraser Mackenzie Limited, PI Financial Corp., Pope & Company Limited, and Toll Cross Securities Inc. (collectively the "Underwriters") pursuant to which the Underwriters have agreed to purchase 10,000,000 common shares ("Common Shares") of the Company on a bought deal private placement basis at a price of $1.85 per Common Share.

The Company will pay the Underwriters a cash commission equal to 6.0% of the gross proceeds of the offering.

The offering is scheduled to close on or about February 28, 2012 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange.

The net proceeds of the offering will be used for continued exploration of the Company's Burkina Faso properties and for general working capital purposes.

The securities described herein have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States unless registered under the Act or unless an exemption from registration is available.