The massive coarse-ore storage facility, part of the monumental Oyu Tolgoi project (Photo: Turquoise Hill Resources)

The massive coarse-ore storage facility, part of the monumental Oyu Tolgoi project (Photo: Turquoise Hill Resources)

Turquoise Hill (TRQ:TSX) announced this morning that they have completed their US$2.4 billion rights offering which expired yesterday.  The company was able to get 100% of shareholders to participate in the offering which represents over 1 billion shares.  Large shareholders Rio Tinto and Robert Friedland fully participated in the offering.  According to the latest SEDI filings (Friedland ceased being an insider in mid-April 2013), Friedland owned approximately 85 million shares in TRQ so his rights offering purchase would represent US$204 million (US$2.40 per right).  Given he is no longer an insider and filings haven't been updated since this previous summer; we do not know his exact position.  However, given how bullish Friedland is on the project he helped discover, I wouldn't expect many shares to have been sold (speculation).  If he did fully participate he would now, potentially, hold in excess of 170 million shares worth over $620 million by todays CAD$3.67 per share price.

Turquoise Hill plans to use the proceeds to repay US$1.8 billion in debt and US$600 million in a bridge facility from Rio Tinto.

Dr. David Klingner, chairman of Turquoise Hill, said, "The Turquoise Hill board extends its sincere gratitude and appreciation to all shareholders who participated in the offering and contributed to its success."

Turquoise Hill expects that the rights offering will close on Jan. 13, 2014.

Read: Turquoise Hill Successfully Completes Rights Offering