Why Turquoise Hill Resources (TRQ) Is Up Today

NEW YORK (TheStreet) -- Turquoise Hill Resources (TRQ) rose 5.1% to $3.50 Tuesday after the company announced the close of its rights offering that expired on Jan. 7.

The mining company issued a total of 1,006,116,602 new common shares in the offering, and generated $2.4 billion in gross proceeds. Turquoise Hill Resources will use the proceeds to "repay all outstanding amounts under its US$1.8 billion interim funding facility," and its $600 million bridge facility with Rio Tinto (RIO), according to the press release. Any remaining funds will go towards its Oyu Tolgoi Project, working capital, administrative expenses, and other corporate expenses.

Following the offer Rio Tinto still holds a 58% stake in Turquoise Hill Resources.

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