i-80 GOLD CORP. (TSX: IAU) confirmed today that Equinox Gold Corp. (TSX: EQX) has exercised its right under the support agreement to maintain Equinox’s pro rata ownership of i–80 on a partially-diluted basis. As a result, Equinox has invested a further $14.2 million into the company.
The decision was made after the recent issuance of shares by i-80, upon the completion of the acquisition of all the outstanding interests of Osgood Mining Company, LLC. Osgood is the sole owner of the Getchell mining project in Nevada.
In relation to the agreement, Equinox signed up for 5,479,536 new common shares of i-80, at a price of CAD$2.60 per common share. Equinox has perpetuated the pro rata ownership of i-80 common shares it held before the completion of the acquisition by i-80, of Osgood Mining, as a result of the subscription. The arrangement is to generate gross proceeds of approximately CAD$14.2 million.
The company as a result has maintained its 30.3% ownership of the firm on a partially-diluted basis.
i-80 Gold Corp last traded on the TSX at CAD$2.60.
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