Insiders loading up on Taipan Resources TPN.V

On the heels of setting 5.55 million options at $0.32.5/share it looks like the insiders are leveraging up another 1.7 million shares in the latest announcement.

Taipan Resources Inc. is proceeding with a non-brokered private placement to raise up to $3-million through the issuance of up to 8,571,428 units at a price of 35 cents per unit. Each unit will consist of one common share of the company and one transferable share purchase warrant, with each warrant entitling the holder to purchase an additional common share of the company for a period of five years at an exercise price of 50 cents. All securities issued pursuant to the private placement will be subject to a statutory hold period of four months and one day.

Management of Taipan intends to subscribe for 10 per cent or more of the offering.

I am surprised that Taipan is not shooting to raise $5 million.