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 June 01, 2010
Cadillac Announces Private Placement Financing Of Up To $3.75 Million

 
Toronto, June 1, 2010 -- Cadillac Ventures Inc. (TSXV-CDC) ("Cadillac" or the "Company") announces that it intends to complete a private placement financing of units ("Units") and flow-through units ("Flow-Through Units") for aggregate gross proceeds of up to $3.75 million. Each Unit will be issued at $0.22 and will consist of one common share and one-half of one warrant. Each Flow-Through Unit will be issued at $0.25 and will consist of one "flow-through" common share and one-half of one warrant. Each whole warrant (a "Warrant") will be exercisable for 24 months for one common share at $0.35. The proceeds from the financing will principally be used for exploration expenditures in respect of Cadillac's work projects and for general working capital purposes.

Cadillac may pay a finder's fee to registrants consisting of an 8% cash commission and 8% compensation options, with each compensation option entitling the holder to purchase one common share at a price of $0.35 for one year.

All securities issued under the offering will be subject to a four-month statutory hold period.

This private placement remains subject to applicable regulatory approval.

Cadillac anticipates that Trafigura Beheer, B.V. ("Trafigura"), an existing shareholder of the Company, will be subscribing for up to approximately 25% of the private placement. Pursuant to Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions ("MI 61-101"), the financing constitutes a "related party transaction" as a result of Trafigura's participation. Trafigura currently holds 15,760,806 shares of Cadillac representing approximately 25% of Cadillac's issued and outstanding common shares. The Company is exempt from obtaining both a formal valuation and minority shareholder approval in connection with the financing because neither the fair market value of the common shares and warrants to be issued to Trafigura under the financing, nor the consideration for such securities, exceeds 25% of the Company's market capitalization as calculated in accordance with MI 61-101.

The financing is expected to close in June, 2010.

About Cadillac

Cadillac is a development-focused exploration Company which has the past-producing Thierry Property near Pickle Lake in Northern Ontario, several exploration projects in Spain in joint venture with MATSA and three Canadian exploration projects, located in regions that have been historically active.

The Thierry Property encompasses the past producing Thierry Mine which ceased production in 1982 leaving mineralization in situ. In addition to the Thierry mine project the Company wholly owns the New Alger project, a previously productive gold mine, located outside of Cadillac, Quebec, where the Company has entered into a joint venture agreement with Renforth Resources Inc. for a three year $2.5 million exploration program. In Spain, the Company is joint venture partner with Minas de Aguas Tenidas, S.A.U. regarding the exploration of 12 different investigation licenses surrounding the Aguas Tenidas Mine in the Iberian Pyrite Belt of southern Spain. The Burnt Hill Project is a 51% owned tungsten tin project located outside of Fredericton, New Brunswick. The Company also holds the Pickle Gold project comprised of 21 claims in the vicinity of 3 historically productive gold mines near Pickle Lake, and the Kirkland Gold project, located about 15 kilometres west of the town of Kirkland Lake.

For more information regarding Cadillac, please visit our website at www.cadillacventures.com, or call Norman Brewster, President and Chief Executive Officer, at 416 203-7722.

Forward Looking Statements

This news release may contain certain forward-looking statements under applicable securities laws. All statements, other than statements of historical fact, are forward looking. Forward-looking statements are frequently identified by such words as 'may', 'will', 'plan', 'expect', 'believe', 'anticipate', 'estimate', 'intend' and similar words referring to future events and results. Forward-looking statements are based on the current opinions and expectations of management. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development, fluctuating commodity prices, the risks of obtaining necessary licences and permits and the availability of financing, as described in more detail in the Company's securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward-looking statements and the reader is cautioned against placing undue reliance thereon. Cadillac assumes no obligation to revise or update these forward-looking statements except as required by law. All dollar amounts are in Canadian dollars unless otherwise noted.


Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
 
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