Pinetree Capital Ltd. Acquires Securities Of Galena Capital Corp.
May 28, 2010
TORONTO, Canada (May 28, 2010) Pinetree Capital Ltd. (TSX: PNP), announces that on May 21, 2010, it acquired ownership of 5,000,000 common shares (“Common Shares”) and 2,500,000 common share purchase warrants (the “Warrants”) of Galena Capital Corp. (“Galena”). Each Warrant entitles the holder to acquire one common share of Galena at a price of $0.15 until May 21, 2010. In the event that the Warrants are fully exercised, these holdings represent approximately 8.7% of the total issued and outstanding common shares of Galena as of May 21, 2010, calculated on a partially diluted basis assuming the exercise of the Warrants only. As a result of this transaction, Pinetree and its joint actors collectively held, as at May 21, 2010, an aggregate of 9,840,000 common shares of Galena, including the Common Shares and rights to acquire an additional 4,025,000 common shares of Galena upon exercise of certain convertible securities (the “Convertible Securities”), including the Warrants. Of these totals, Pinetree owns 9,390,000 common shares, including the Common Shares and 3,625,000 of the Convertible Securities (the “Pinetree Convertible Securities”) directly. In the event that the Convertible Securities are fully exercised, the holdings of Pinetree and its joint actors represents a total of 13,865,000 common shares of Galena, or approximately 15.9% of all issued and outstanding common shares as at May 21, 2010, calculated on a partially diluted basis assuming the exercise of the Convertible Securities only. In the event that the Pinetree Convertible Securities are fully exercised, the direct holdings of Pinetree represents a total of 13,015,000 common shares of Galena, or approximately 15.0% of all issued and outstanding common shares as at May 21, 2010, calculated on a partially diluted basis assuming the exercise of the Pinetree Convertible Securities only.
These transactions were made for investment purposes and Pinetree or its joint actors could increase or decrease their investment in Galena depending on market conditions or any other relevant factor.
Pinetree Capital Ltd. ("Pinetree") was incorporated under the laws of the Province of Ontario and its shares are publicly-traded on the Toronto Stock Exchange (“TSX”) under the symbol “PNP”. Pinetree is a diversified investment and merchant banking firm focused on the small cap market. Pinetree’s investments are primarily in the resources sector: Uranium and Coal, Oil & Gas, Precious Metals, Base Metals and Potash, Lithium and Rare Earths. Pinetree’s investment approach is to develop a macro view of a sector, build a position consistent with the view by identifying micro-cap opportunities within that sector, and devise an exit strategy designed to maximize our relative return in light of changing fundamentals and opportunities.
For more details about Pinetree and its investments, please visit our website at www.pinetreecapital.com
Larry Goldberg, C.A.
Executive Vice President and Chief Financial Officer
Pinetree Capital Ltd.
130 King Street West, Suite 2500
Toronto, Ontario, Canada, M5X 1A9
Web Site: www.pinetreecapital.com