Friday, August 8, 2025

AUX Resources Closes $2.5 Million Financing, Sprott Takes 16.4% Stake In Firm

AUX Resources (TSXV: AUX) has closed its previously announced private placement, which largely consisted of an investment by mining financier Eric Sprott. The financing saw a total of $2.5 million raised by the company.

Under the terms of the financing, AUX sold a total of 11.2 million units at a price of $0.225 per unit. Each unit consisted of one common share and one common share purchase warrant, with warrants valid for a period of two years from the date of issuance at a price of $0.40 per share.

Of the 11.2 million units sold under the offering, Eric Sprott subscribed to 8.9 million, amounting to an investment of $2.0 million in the company. Following the close of the transaction, his stake amounts to 16.4% ownership in the company on a non-diluted basis, and a 28.2% stake on a partially diluted basis. The shares were acquired via 2176423 Ontario Ltd, a firm in which he beneficially owns.

Shares issued in connection with the financing are subject to a hold period that expires June 20, 2021.

AUX Resources last traded at $0.285 on the TSX Venture.


FULL DISCLOSURE: AUX Resources Corporation is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover AUX Resources Corporation on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.

Video Articles

Gold/Silver: People Can Still Lose Money In This Bull Market!? | Rick Rule

He Said $300 Silver!? | Peter Krauth

Dollar Will Collapse, Gold and Silver Are the Only Safe Havens | Jim Rogers

Recommended

Nova Scotia Bans Forest Access to Prevent Wildfires

Cardiol Therapeutics Releases Positive Topline Results From Phase II Clinical Trial

Related News

China’s New ¥100K Cash-For-Gold Rule Could Spur Buying Frenzy Before Deadline

The People’s Bank of China has ordered every dealer of precious metals and gemstones to...

Saturday, July 5, 2025, 11:33:00 AM

Argonaut Intersects 98.9 G/T Gold, 30.3 G/T Silver Over 12.2 Metres At La Colorada

Argonaut Gold Inc. (TSX: AR) announced this morning the drill results from below the El...

Monday, April 26, 2021, 08:25:50 AM

Melkior Enters Option And Joint Venture Agreement With Kirkland Lake Valued At $110 Million

Melkior Resources (TSXV: MKR) this evening announced a blockbuster deal with that of Kirkland Lake...

Monday, September 28, 2020, 05:32:14 PM

Kirkland Lake Beats Guidance, Producing 302,857 Ounces Of Gold In Q1 2021

Kirkland Lake Gold (TSX: KL) this morning announced its production results for the first quarter...

Friday, April 9, 2021, 09:08:13 AM

West Red Lake Hits 5.91 G/T Gold Over 6.0 Metres At NT Zone

West Red Lake Gold Mines (CSE: RLG) just released assay results from its summer 2020...

Thursday, September 24, 2020, 10:54:14 AM