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Temporary relief from certain private placement pricing requirements

In a Bulletin dated April 12, 2013, the TSX Venture Exchange extended a program providing for temporary relief from certain private placement pricing requirements until August 31, 2013. These temporary measures will permit, in limited circumstances, an issuer listed on the TSX Venture Exchange to price a share/unit offering at an offering price below $0.05, to offer a convertible debenture with a conversion price below $0.10 and to offer a warrant with an exercise price below $0.10.

Ontario Court Confirms Binding Nature of Bought Deal Engagement Letters

The Ontario Superior Court of Justice (Commercial List) recently confirmed the binding nature of bought deal engagement letters when it awarded a judgment of $16,042,669 plus interest and costs in favour of Stetson Oil & Gas Ltd. (TSXV: SSN), a junior oil and gas exploration company, and against Thomas Weisel Partners Canada Inc. (now Stifel Nicolaus Canada Inc.) (“Weisel”), an investment bank and a securities dealer, for Weisel’s failure to close a bought deal private placement pursuant to an engagement letter with Stetson.

SEC Provides Guidance on Using Social Media for Corporate Communication

The United States Securities and Exchange Commission (the “SEC”) issued a report following an investigation into the use of social media, such as Facebook and Twitter, for corporate communication. The report clarifies that public companies can use social media to disseminate corporate information without violating Regulation FD if they take steps sufficient to inform the market of the social media channels that they intend to use to disseminate the information.